The Bear Carrier from Oliver + S, Little Things To Sew book. Which is holding Emily's Transforming Werewolf. This is the coolest doll! As you can see, he transforms from a lumberjack to a werewolf!! The girls love him...loooove him! He's not super easy for little hands to transform but they love him.
They just ask me to do it;)
As for the Bear Carrier, I used Heather Ross, Far Far Away 2 fabric and a pastel polka dot for the lining.
Picture of Bear carrier from the book and Transforming Werewolf from here.