In a word: AWESOME!
In my opinion, the entire first season was looking for it's place; the show was a little too gory to appeal to the people who want drama and stories, and the the drama was a little to over the top for the people looking for gore and horror. I think there will be some negative reviews about this episode, but this will be based on a model that doesn't apply to the walking dead. The Walking Dead is something of a misunderstood show. Most people see it as a horror show, but that's not really where it's head is at, or, more importantly, it's heart.
The number one and most important thing you have to understand about The Walking Dead is this: the show is about survivors not zombies. The zombies are a plot device to move the story along, the show is about the people; in fact, the title is talking about the survivors, not the undead (I implore you to read the comic book, it's all explained there). Watch some of the show, I mean really watch it, and you'll understand.
There it is, watch the show, it's good, real good, I think the best thing you'll see this year.