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It's a Very Merry Muppet Christmas Movie (2002)
The owner of a bank (Miss Bitterman) wants to own the Muppet Theatre so she can build a nightclub over it. After she tricks Pepe into giving her the only copy of the contract between her father and the Muppets, she changes it so the Muppets have very little time to pay a debt they owe. Meanwhile, the Muppets are trying to put on a Christmas show. After the Muppets are confronted by Bitterman, they make a lot of sacrifices to save up so they can keep the Theatre.
❄ Christmas Connection
The entire film is structured as a riff on It's a Wonderful Life, with Kermit wishing he'd never been born on Christmas Eve after the Muppet Theatre faces foreclosure. A guardian angel shows him what the world would look like without him. Christmas saves the theatre; Christmas saves Kermit. It doesn't get more explicitly Christmas than that.
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Our Review
The premise is borrowed wholesale from Frank Capra: Kermit the Frog, broken by debt and misfortune on Christmas Eve, wishes he'd never been born. A bumbling guardian angel named Daniel, played by David Arquette with the earnest bewilderment of a man who genuinely doesn't know what's happening, shows Kermit what the world looks like without him. It's a Very Merry Muppet Christmas Movie aired on NBC on November 29, 2002, and it is exactly as chaotic, overstuffed, and occasionally brilliant as that setup implies.
This is not a prestige production. The seams show. But the Muppets have always worked best when the seams show, and this film understands that instinctively.
The Plot, Such As It Is
The Muppet Theatre is on the verge of foreclosure because the lease payment was accidentally donated to a children's charity instead of the landlord. The villain is Rachel Bitterman, played by Joan Cusack in full scenery-chewing mode, a developer who wants to demolish the theatre and replace it with a nightclub. William H. Macy plays the nightclub, or rather, plays the man who would own it in the alternate timeline. It is a very strange use of William H. Macy.
The "what if Kermit never existed" sequence is where the film earns its keep. Miss Piggy is a lounge singer nursing a broken heart. Fozzie is reduced to performing at a strip club. Gonzo has given up his act entirely. Each vision is played for laughs, but there's a genuine melancholy underneath, because the Muppets at their best are always about a group of misfits who only work together.
The film doesn't linger on the darkness. It moves fast, probably too fast in places, but the pacing keeps it from getting maudlin.
The Cast Knows What Movie They're In
David Arquette was not the obvious choice for a guardian angel. He's scruffy, slightly confused, and conspicuously un-angelic. That turns out to be exactly right. His Daniel is a low-rent celestial bureaucrat who has clearly never handled a case this complicated, and Arquette plays it with a self-deprecating energy that fits the Muppets' world better than a polished Hollywood performance would have.
Joan Cusack goes the opposite direction: completely committed to being the worst person in the room. Her Bitterman is not nuanced. She's a Christmas villain in the tradition of Christmas villains, and Cusack seems to be having the time of her life with it.
The cameos are a mixed bag. Carson Daly, Kelly Ripa, Joe Rogan, and Whoopi Goldberg all appear, mostly as themselves in the alternate-universe versions of their shows. Some of these have aged better than others. The Scrubs cast appears in a bit that was probably funnier when the show was at its peak in 2002.
Why This Matters for Muppet History
It's a Very Merry Muppet Christmas Movie is the last Muppets production made before the Walt Disney Company acquired the franchise from the Jim Henson Company in 2004. That makes it a transitional artifact, the final entry in a particular era of Muppet history. The characters were about to become a Disney property, which would eventually lead to the 2011 film that reintroduced them to a new generation.
It also marks the first major performance of Eric Jacobson in the roles of Miss Piggy, Fozzie Bear, and Animal. Frank Oz, who had voiced and puppeteered those characters for decades, stepped back from regular Muppet work around this time. Jacobson has played them ever since. If you've watched any Muppet project made after 2002, you've heard his voice.
Jerry Nelson, who voiced and performed characters like Robin the Frog and Statler, was in poor health during production. Most of his characters were performed on set by other puppeteers and dubbed by Nelson in post-production. He continued to voice the characters until his death in 2012.
Is It a Good Christmas Movie?
By the standards of the genre, yes. It's sincere about the things that matter: friendship, belonging, the way a community makes individual lives meaningful. It doesn't try to reinvent the It's a Wonderful Life structure because it doesn't need to. The Muppets fit that structure naturally. Of course Kermit is the connective tissue holding everyone together. Of course the world is worse without him.
The film's biggest weakness is its length. Over thirty minutes were cut from the original broadcast, and the theatrical cut still feels slightly overstuffed. The alternate-universe sequences deserve more time than they get, and some of the subplot about raising the money to save the theatre gets lost in the noise.
But the finale works. The Muppets perform "Everyone Matters" in the theatre they've just saved, and even knowing the formula, even having seen this structure in a hundred holiday specials, the scene delivers. That's what the Muppets have always been able to do. They know the tricks, they use the tricks without apology, and somehow it still lands.
It holds an 83% approval rating on Rotten Tomatoes. That number is correct.
Fun Facts
This was the last Muppets production made before Walt Disney Company acquired the franchise from Jim Henson Company in 2004, making it the final project from the pre-Disney era of Muppet history.
Eric Jacobson made his first major appearance as Miss Piggy, Fozzie Bear, and Animal in this film, beginning his tenure in roles that Frank Oz had held for decades. Jacobson has performed those characters in every major Muppet project since.
Snoop Dogg was originally cast in a cameo but his scene was cut before broadcast due to controversy over his involvement with a Girls Gone Wild video at the time.
Steve Irwin was meant to appear as himself playing a Safari Animal Tracker character, but had to withdraw due to scheduling conflicts while filming The Crocodile Hunter: Collision Course.
The opening sequence used three city blocks of a small town in Vancouver, 60 to 80 extras, and fake snow. The entire film was shot in Vancouver despite being set in Hollywood.
Mel Brooks voiced Joe Snow, a walking snowman who serves as the film's narrator, a character that parodies the snowman narrator from the 1964 Rankin/Bass special Rudolph the Red-Nosed Reindeer.
More than thirty minutes of footage was cut from the original NBC broadcast. Many deleted scenes were included on the DVD release as part of a 20-minute documentary called "Inside Pepe's Studio."
Jerry Nelson, who voiced Robin the Frog and Statler among others, was ill during production. His characters were puppeteered on set by other performers, with Nelson dubbing the voices in post-production afterward.