It's Christmas Eve at the Furchester and everyone is excited, especially Harvey P. Dull, who couldn't possibly be curmudgeonly this time of year. The Furchesters have many things planned for their annual celebration, when Big Bird realizes something - he never told Santa Claus he'd away from Sesame Street at Christmas, meaning he won't deliver his presents to the hotel. Elmo realizes he did the same and the two become sad. Unfortunately, they can't remind Santa via air mail (the delivery bird will take too long) and Santa's phone lines are all busy. Phoebe proposes they move onto the traditions to keep their minds off Santa.