so we are doing this in preforming arts, and this is what my group ended up doing:
One person went up and kind of went through what happened at the end of the origional three little pigs story. They then said that it was Christmas Eve, and kind of faded into the story. The three little pigs went off to one side and started miming decorating a christmas tree. The wolf then one one side went and bought a bomb and a santa suit. He then came up and sqeezed himself down a chimney. He then gave the pigs the bomb (which was wrapped up as a christmas present). The bomb exploded, and two of the pigs died, but one lived and then met Homer Simpson and turned into spider pig...
SO YA! that's what my group ended up doing... strange, but whatever. So have fun with the improv thing and stuff, and it could end up being really strange like mine was. :P hehe Enjoy!