Holly Hobbie is excited about spending Christmas-time with her friends and family. She soon learns of the situation of a widow, Mrs. Deegan and her twin boys, Joey and Paul. She works together with her friends Amy Morris and Carrie Baker. They also take part in a Christmas pageant and Christmas caroling. Meanwhile, Holly's brother Robby dresses up as Santa Claus to earn extra money, but discovers the spirit of giving.

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