Andy perfoms "The Most Wonderful Time of the Year" and "The Christmas Song", among other classic tunes and celebrates Christmas with his family. The Osmond Brothers are also along to celebrate the season.
The Williams brothers perform a medley of Christmas tunes then harmonize with the Osmond siblings. Andy croons "Chestnuts Roasting on an Open Fire." The Osmonds ice skate. Andy solos "Silent Night", the brothers return for "I'll Be Home for Christmas."
Feeling unneeded, a disillusioned Santa Claus (Charles Durning) quits Christmas. Through the selflessness of a little girl looking to reunite her parents for Christmas (and the help of his bumbling chief elf, Philpot (Bruce Vilanch), Santa and the child travel across America and Santa discovers that people really do need him and care about other people.