The Story

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The story starts in Victorian Era Germany. In a house on Christmas Eve, a young woman named Marie Stahlbaum is performing in front of an audience. Among them is the sleazy pawnshop owner, Mr. Ratter, who her family owes money to. After the performance Marie's mother begs him for more time, but he refuses as he and Marie's late father, Mr. Stahlbaum made a contract. However, he offers to get rid of it if Marie marries him, or she will lose her home and her mother goes to Jail. Marie is shocked at this and Mrs. Staulbaum refuses m telling him to leave. Before he does he asks Marie to think on it before morning, hoping she will change her mind, and leaves gives her a nutcracker as a reminder of him.

Later that night in her room Marie, disgusted by the gift, tosses it to the floor and sighs. She wishes to her old toys that she could go back to being small again when everything was easier. A shooting star appears as she makes her wish and suddenly finds herself shrinking and then blacks out.

When she wakes, she finds herself the size of her toys. She then goes to the door after hearing her mother and cries out to her help. However, because Marie's current size Mrs. Stahlbaum, lamenting her family's financial situation, can only hear squeaks, thinking it's rats and walks away.

A huge rat sneaks up behind Marie and attacks her. Luckily, she is then rescued by the nutcracker, her toy sheep Curly, and her toy astrologer who have mysteriously become alive. The rat then leaves through a mouse hole.

The astrologer tells Marie that because it's Christmas Eve magic can happen. So Marie's wish came true and brought all her toys to life. Marie's toys then all come out to say hello to her, including her skittish toy ostrich Redbeak, who had his head stuck in a thimble during the battle. The astrologer also assures Marie that the spell will be over by the next morning, with toys turning back and Marie returned to her original size.

The toys are surprised to see the nutcracker, who is new. Marie thanks the nutcracker and introduces herself to him. When she asks for his name the nutcracker says he doesn't remember anything, except that he must fight rats.

The nutcracker then leaves for the mouse hole after the rat. The astrologer then shouts for him to stop and he and Marie to pull him back in, only to remove his boot instead. He then tells everyone that all the toys must be here for everything to return to normal or else.

Marie, not wanting remain small forever, then goes into the hole after the nutcracker, with Curly and Redbeak following. The three end up sliding through the hole and somehow end up in the land of flowers. There, they meet the nutcracker upon landing and, after returning his boot, Marie tells him to come back with her. He refuses and suddenly they all hide as soldiers on horses and a carriage appears

They stop and the lead horseman, Phillip, tells the person in the carriage that he senses someone close. A woman with rat tail named Charlotte, (who is Phillip's mother and the current Queen of the land) comes out and senses something as well.

When Phillip mentions chicken Redbeak freaks and immediately runs away, drawing the soldier's attention.

They chase Redbeak around until he ends up with his head in the ground. The soldiers catch up but instead of capturing him they just leave him there and ride home (but not before Phillip takes one of Redbeak's tail feathers and sticks it in his hat).

Later George enters a cave alone that leads to an opening with a waterfall. There, he sees a castle and a kingdom down below and remembers that his name is George. Also, that he is in fact the kingdom's prince.

A flashback then starts showing young George playing with his widower father, King Edward. Edward later married Charlotte, making her and Phillip George's stepmother and stepbrother.

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