- Two baby squirrels ask grandpa to explain what "men" are when they hear everyone singing of "peace on earth, goodwill to men". Grandpa tells the story of man's last war.
- Two baby squirrels ask their grandfather to tell them what happened to all the men. The old squirrel reveals that all the humans were killed years ago in a terrible war. The surviving animals started a new society, based on the lessons taught in the Bible.—Mike Konczewski
- The scene opens on the ruins of a Church on Christmas Eve, the camera pans out to see a tiny village made of old military equipment such as helmets and shrapnel and occupied by anthropomorphic animals A group of carolers are singing a Christmas carol "Peace on Earth, Good Will To Men" (to the tune of "Hark The Herald Angel Sing") as an elderly squirrel walks down the snow-covered streets to visit his daughter and two grandchildren, singing the song as well. After Grandpa arrives, the young squirrels hearing the song he sung with the carolers outside ask him what "men" are. Grandpa remembers "The Men" and tells the children that they no longer exist and the younger squirrels ask why. The grandfather tells his grandchildren that men (represented by soldiers wearing helmets and gas masks, carrying bayonets) were horrible giant creatures who were constantly having arguments and waging war upon one another, sometimes for pointless reasons (e.g vegetarians going to war against meat eaters). Through flashbacks, we see soldiers fighting, with guns and cannons and Grandpa says it just got worse as time went on, until the last two men on both killed each other, with one shooting the other as he succumbs to his own injuries. Grandpa than tells how he and the other forest animals found a book belonging to the men (The Bible), among the ruins of a Church and read some of the things in it including, "Thou Shalt Not Kill" and "Ye shall rebuild the old wastes." The animals think those are some pretty good rules to follow and create a new civilization based on those principles since these were things that humans had forgotten which lead to their untimely end. Back in the present, the little squirrels start to fall asleep hearing the story and their mother tucks them into bed and the carolers sing "Silent Night" as they drift into peaceful slumber. Grandpa leaves happy and thankful, that there is now (after long last) "peace on earth".
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