The 1977 set of six ornaments were based on Gorham's line of figurines. The set included Cookie Monster, Grover, Big Bird, Bert, Ernie, and Oscar. In 1980, they released a second set featuring the same six characters, and another in 1983.
In the 1980s they also produced a Christmas ball ornament. One side shows Grover, Ernie, Bert, and Big Bird riding a sled. Big Bird holds Little Bird on his hand. Both birds are wearing red santa hats while Bert has a green hat. Big Bird has a green check scarf and Grover wears a green polka-dot scarf. On the reverse side, Big Bird is sitting in the snow holding up Little Bird. Both sides are decorated with a snowy landscape with evergreen trees.