- Billy Bona arrives at the Lucas’ house, bringing an elaborate Christmas present for the children, a mechanical ballroom. Included are a plush snowman for Therese, a reindeer for Louise, a nutcracker for Marie, and a drummer boy for Francis.
- The toys come to life, and the Nutcracker defends Marie from the Rat King. The group is transported to another world, where the Nutcracker defeats the Rat King.
- Sparkling fairies dancing atop snowflakes welcome the Nutcracker and Marie to the new world. They lead the children to their leader, the Sugar Plum Fairy.
- The Sugar Plum Fairy welcomes the children with a lavish party, attended by Urisks, minty Brownies, Tonttu (sugar plums/snowflakes), Minthae, and pecan Meliae.
- The Sugar Plum Fairy crowns the Nutcracker and Marie as King and Queen of the land.
- Upon waking up the next morning, Marie finds herself back at home. She rushes to the ballroom where she left the Nutcracker the night before, only to find him missing. Billy Bona arrives with a boy who looks remarkably like the Nutcracker, introducing him as his son, James.