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Program Date: May 16, 1991

The show begins with a tour, given by Kermit the Frog, of Muppet Studios, where many of the Muppets are preparing for segments in the show to follow the tour. Many 3D effects are performed at this point by various characters, mainly Fozzie Bear.

Muppet*Vision 3D re-introduces Waldo C. Graphic, the world's first computer-generated Muppet, (who first appeared in The Jim Henson Hour.) Waldo is "created" by Dr. Honeydew and Beaker during a demonstration of three-dimensional imagery in the 'Muppet-Labs', but proves uncontrollable and wreaks havoc throughout the remainder of the film, especially when the ending patriotic number by Sam Eagle is reduced to shambles.

Aside from the Muppets on-screen, there are also a number of in-theater Muppets, mostly audio-animatronic, that interact with the show. Statler and Waldorf heckle from a balcony near the screen, an orchestra of penguins rises into sight to perform, and the Swedish Chef "operates" the film projector from the booth above and behind the audience. Bean Bunny (who first appeared inThe Tale of the Bunny Picnic) leaves the film at one point after being blamed for ruining several scenes (mainly Miss Piggy's musical rendition of Dream a Little Dream of Me) by Sam the Eagle.Sweetums (who is a live full-bodied Muppet) comes out into the audience to search for him having already done so on screen.

At one point in the show, there appears to be computerized bubbles blown, and real soap bubbles blow from the ceiling. At the end of the show Swedish Chef tries to destroy the now out of control Waldo, who has destroyed the film and is all alone on a blank screen, by firing a gun at him. After missing several times (shooting holes in the screen and even the theater wall), the Swedish Chef resorts to using a large cannon. This blows-up the theater, tearing a hole in the main screen, as well as "revealing" some bricks and sheetrock throughout the main theater, revealing what's on the "other side" of the screen—guests at a Disney Park. At this point, Kermit comes on the back of a fire engine through the hole to apologize and conclude the show.

In the final part of the film, Waldo appear behind red curtains and then shape shifts into Mickey Mouse, so no one would recognize him. However, he turns back into his true form when he gets sucked up by a vacuum from Muppet Labs. Statler and Waldorf make their final comment and the film ends.

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