When the Muppets graduate from Danhurst College, they take their song-filled senior revue to New York City, only to learn that it isn't easy to find a producer who's willing to back a show starring a frog and a pig. Of course, Kermit the Frog and Miss Piggy won't take no for an answer, launching a search for someone to take them to Broadway.
A toy factory worker, mentally scarred as a child upon learning Santa Claus is not real, suffers a nervous breakdown after being belittled at work, and embarks on a Yuletide killing spree.