Lotta is returning from a summer trip and she and Lola have bought each other gifts, as they always do after one of these trips. Lotta really likes the colorful friendship bracelet that Lola got for her, but Lola is less enamored with the garishly colorful hat that Lotta gives her. It's big, wildly colored, and itchy. Lola really doesn't want the hat, but both she and Charlie agree that Lotta's feelings will be work if she tells her that she doesn't like it. Lola tries various tactics such as "accidentally" losing the hat, or giving it away to Arnold. Arnold really likes it, and wears it everywhere, from breakfast to his bath. When Lotta sees this, however, she asks what's happening, and Lola ends up wearing the hat again. Then, just when Lola is starting to actually like the hat, she finds it in jeopardy.