Hi Milmomma, I would love to help you with your question, but somehow it got erased from the comment list. However here is what you should do. I did not attach the lining to the fabric of the bag before step 1. I handstitched the bag together and then handstitched the lining together separately. (measure the fabric a bit smaller, so that it fits easily into the outside). Once you stitched the lining up, you can set it into the inside of the bag, fold over the top edges and handstitch it onto the outside. I suggest to put a piece of cardboard in the bottom of the bag, before setting in the lining, it makes your bag sturdier. I hope this helps. Let e know if you have more questions.

The felt is 1/8" or 3 mm thick.

Johanna says: I buy my felt in Munich (Germany)at Johanna Daimer's shop. johanna

If you are looking for a place to buy some colorful felt to make these colorful bags, check out:

Brooklyn General Store (128 Union St. Brooklyn, www.brooklyngeneral.com) - they have 60 colors!

Or to buy yardage on-line, see Hancock Fabrics (www.hancockfabrics.com)