In-the-hoop candy hugger designs have three files.

One is the embroidery file. The other two are dieline files, marked with the letters DL. Dielines are used to cut the fabric to the right shape and size.

Open the dielines files with embroidery software and print them.

If you do not have embroidery software, Wilcom's TrueSizer is a free program to use.

Spray a piece of medium-weight cutaway stabilizer with temporary adhesive and smooth the felt on top.

Spray the backside of the front piece dieline with temporary spray adhesive and smooth onto the felt.

Cut out the shape and remove the paper.

Repeat this process for the back fabric piece.

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To prepare the pocket piece, spray the backside of the pocket dieline and smooth it onto the quilter's cotton.

Cut out the shape -- no stabilizer is needed on the pocket fabric.

Spray the backside of the pocket fabric with adhesive and fold in half as shown, wrong sides together and short ends aligned.

Now that the fabric pieces are cut to the proper shape and size, it's time to embroider the design.

Hoop a piece of tear-away stabilizer.

Madeira E-Zee Tear 1.5 oz. or Floriani Tearaway Medium are good choices. Those brands are more fibrous, less paper-like, and will tear more cleanly.

Attach the hoop to the machine and load the full embroidery design (not the dieline files).

Use a size 11 or 75/11 sharp sewing needle, rather than an embroidery needle. A sharp sewing needle has a smaller, finer point than an embroidery needle, so that will make smaller perforations in the stabilizer.

Embroider the design. The first thing to sew will be a dieline, or outline stitch. This marks the area on the stabilizer for the front fabric piece.

Spray the backside of the front felt piece with temporary adhesive.

Remove the hoop from the machine, but do not unhoop the stabilizer. Place the fabric piece right inside the sewn dieline.

Reattach the hoop onto the machine and continue with the design.

A zigzag or tackdown stitch will sew next. This binds the fabric piece to the stabilizer.

The inner elements will sew next.

On the color change sheet, look for the note that says "pocket tack down."

When you get to this section, stop the machine and remove the hoop from the machine. Do not unhoop the stabilizer.

Spray the corners of the backside of the pocket piece and place it within the dieline (the fold faces up).

Continue with the design -- a zigzag tack down and satin border will sew next.

On the color change sheet, look for the note that says "back piece tack down."

When you get to this section, stop the machine and remove the hoop from the machine. Do not unhoop the stabilizer.

Spray the backside of the back fabric piece with adhesive.

Turn the hoop over to the backside, and place the back felt piece inside the shape.

Since both sides of the embroidery will be seen, wind a bobbin with the same thread being used in the needle.

Attach the hoop back onto the machine and continue with the design -- another zigzag tack down will sew, followed by a satin-stitch border.

When the design has finished, unhoop the stabilizer and carefully tear it away.

Bring the arms together and overlap them slightly. Add a drop of fabric glue and press them in place.

Hold the arms in place until the glue sets. Use a clothespin to hold them in place until the glue dries.

Or, use small velcro circles to make the arms adjustable. Needle and thread can also be used to hand-sew them in place.

Insert a piece of candy through the arms and into the pocket.

These cute critters are a fabulous way to share candy, money, or other small gifts with friends and family!

They're made almost entirely in-the-hoop, and are sure to put a smile on someone's face.