It implies that during training, it learned the facts that Elizabeth is queen of the UK, and that Charles is its crown prince; but _also_ the logical rule <IF die(monarch) AND alive(heir_to_the_throne) => transform(heir_to_the_throne, monarch) AND transform(monarch, former_monarch)>, or at least something along those lines that allows similarly powerful entailment. And that in addition to the ability to substitute/reify with the input sequence at inference runtime.
Would be nice to see a rigorous survey of its logical capabilities given some complex Prolog/Datalog/etc knowledge-base as baseline.