Thanks for the info. The first screenshot brings you a step closer to the desired result. That is, the template is distorted and the PDF attachment can't be downloaded, but at least Outlook is correctly reading the xml file.
So the problem should be attacked in steps:
1. Why is Outlook not recognizing the XML?
2. Why is the attachment not being sent? I believe this is default InfoPath behavior. I found some previous discussions on this, including:
http://www.infopathdev.com/forums/p/9366/33158.aspx
http://www.infopathdev.com/forums/p/7879/28773.aspx
3. Clean up the view so it's not a messed up layout. (this can be done, but the InfoPath views do get distorted in email and require lots of tweaking)
So, to discuss the first issue: what changed between the first attempt and the second attemp? To me it sounds like somehow Outlook is no longer opening the xml, but I'm not sure what could've caused this. I imagine that this is a machine configuration issue; you can verify by having InfoPath send the email other users, to see if the issue is reproducible on other machines that are running Outlook.
Once Outlook begins to recognize and display the form content (first screenshot), then you'll need to play with the form design to get it to display undistorted.
As far as the attachment, the links above provide ideas on uploading the attachment to a URL, and then including that URL in the form itself. Please read over the links and post your thoughts here. Thanks.