It was written in the stars that Disney, greatest creator of fantasy in our day, should some time sad, wise and ancient Italian fable of Pinocchio, written down by Collodi. So he started two years ago, after Snow White was finished, worked slowly, made 300,00 drawings, spent $2,500,000, ordered six irresistible songs—and now Pinocchio is ready. LIFE here presents this American masterpiece, loveliest of Disney films, in a Christmas booklet for all young readers under or over 12.