SpongeBob is sneaking up to Sandy's tree dome to perform his new karate move, and sees Sandy lighting up her tree to look like a Christmas tree. SpongeBob, mistaking the lights for fire, freaks out and runs in and splashes water on Sandy. Sandy realizes that SpongeBob never seen a Christmas tree before, and does not know what the holiday is. While learning of the holiday and its activities, SpongeBob begins to spread the joy throughout the city of Bikini Bottom. He tells everyone that Santa Claus will give you presents if you write him letters.