Alfie and Annie Rose are at the Harvest Fair where Alfie enters his masterpiece, Motor Bike Man, in the under-fives painting competition. As he checks out the prizes—a dinosaur book, a jigsaw puzzle, and a bottle of green bubble bath—he spots a rather sad-looking woolly sheep, the consolation prize. Alfie is delighted to win third place, but dismayed to see that consolation prize winner, Louise, is not at all happy with the woolly sheep and dumps him on the floor by her chair. Alfie feels sorry for Louise and the sheep, but then he has a brilliant idea, one that makes everyone happy.
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