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Franklin's Magic Christmas is the second Franklin movie, released directly to video on November 6, 2001.
Franklin and his little sister, Harriet (introduced in the previous film, Franklin and the Green Knight), are planning to pay a visit to their grandparents at Faraway Farm. He immediately becomes annoyed with her when she throws a snowball, causing him to drop a large pile of presents. Bear and his little sister, Beatrice, come, and Franklin accidentally forgets his favorite stuffed toy, Sam, at home. He thinks that Harriet dumped him in the snow on purpose, and is still annoyed with her when they get to Faraway Farm and it's revealed that they will be sleeping in the same room. Later, his grandmother tells a strange story about a reindeer. She admits that she might have imagined it as his father takes a family portrait, in which he gives a sad look. Grandma sends him to bed, and shows him Sirius outside.
The next day, as Franklin feeds the chickens, Grandma lets him in on a little surprise--she is fixing up an old sleigh for Grandpa. He decides to help, and she introduces him to the Collies, who collect the polish. That night there is a blackout, and while Franklin is checking the closet for candles, he comes across the bell from Grandma's story, revealing that she was not imagining it after all.
Franklin shows the bell to Grandma the next morning (Christmas Eve), and suggests they use it for Grandpa's sleigh. She has Harriet help with it, but spills the beans at lunch (fortunately he wasn't there). Later, as Franklin and Harriet work on it, the latter rings the bell, and, just like in Grandma's story, a reindeer appears. He runs to the house to tell her, distracting Grandpa, making him slip on a puddle of ice, and breaking his leg.
Franklin decides to use the sleigh to go and find Dr. Bear in Woodland, when he discovers that Harriet has come along, hidden in the back. The horse, Rosie, is just as surprised, and runs away. He is furious, but then sees that Harriet brought the bell. They ring it, and this time two reindeer come, one with a bell exactly like the one he has. He realizes that it must belong to the other one, which is why he comes when somebody rings it. With it back, the original reindeer creates a harness seemingly out of nowhere. As they soar above the clouds he sees Sirius, and he and Harriet sing "Twinkle, Twinkle, Little Star". They soon get back with Dr. Bear, who puts a cast on Grandpa's leg. She also gives Franklin Sam, which Bear got from the very beginning.
That night, Franklin and Harriet see Santa Claus out the window. The film ends with them saying "Merry Christmas" to each other.
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