1. From Red PUL, cut pieces: two 12"x12" for bag, two 3"x21" straps and one 3-3/4"x3-3/4" square. From yellow or green PUL, cut two 12"x12" for lining. Round bottom corners on all 12" squares.
2. From cotton fabric, cut pieces: one 8"x9" for flap and one 4"x6" for pocket.
3. With right sides together, fold flap in half lengthwise. Stitch side seams, turn. With fold as bottom edge, center and fuse letters following package directions. Stitch 2" of hook tape to underside of flap. Set aside.
4. Fold each strap in half lengthwise, right sides together. Stitch across one end and long edge. Turn. Topstitch. Set aside.
5. Back of backpack - Cut one 6-1/2" length of FOE. Fold to form loop; stitch to right side of one 12" bag square, 1-1/2" down from top edge.
6. Fold small red square right sides together, stitch side seams, turn. Fold top edges to inside. Stitch label to center.
7. Pin raw edges of straps over raw edges of FOE; stitch. Topstitch small rectangle over strap edges to cover.
8. Stitch flap to top edge, right sides together.
9. Cut two 5" lengths of FOE, fold to form loop and stitch edges to right side of fabric just above the bottom curves.
10. Front of backpack - Zigzag FOE on 6" top edge of pocket. Fuse letters to center. Turn remaining three edges in, press, and topstitch to front of backpack. Stitch appliques where desired. Stitch 2" of loop tape 3" down from top edge.
11. Stitch backpack front and back along sides and bottom, right sides together. Trim and turn to right side.
12. Stitch lining sides and bottom, right sides together. Trim and place inside backpack with wrong sides together. Turn top edges in and topstitch.
13. Measure child for placement of hook and loop tape on straps.