Pip is very proud of his big red balloon. But when he lets the balloon go and it pops, he is inconsolable. Luckily, Posy has a clever idea to cheer up her friend and soon they are having fun again! Everyone who looked at the balloon smiled. It made people happy to see it. But then, by mistake, Pip let the balloon go! The balloon floated into the air. Pip and Posy chased the balloon. But it floated higher - and higher!