When Alice and the other animals arrive at the bank, they concentrate on getting dry. The Mouse tells everyone to sit down and listen to a history lesson.  The Mouse claims that the tale of William the Conqueror is the best because it is the driest tale it is familiar with. Alice and the other animals are still wet after the tale is over, causing the Dodo to propose a Caucus race. The Dodo plans a course, positions everyone, and yells "go!" The animals run around aimlessly until the Dodo announces the race is over half an hour later. The Dodo announces that they have all won the Caucus race and nominates Alice to present the prizes. Alice distributes mints to all of the animals, but she is left without a reward. She finds a thimble and gives it to the Dodo, who returns it to her as her reward.

The Mouse announces that it will share its tale after they finish their mints. When Alice mixes up the words "tale" and "tail". The Mouse scolds Alice for not paying attention, and despite Alice's apology, the two contradict each other, and the Mouse storms out. The other animals mourn the Mouse's absence, and Alice expresses her desire for her cat Dinah to return to the Mouse. Alice proceeds to warn the animals that Dinah eats birds, causing them all to flee in panic. Alice, alone once more, starts to weep before she hears the tinkling of footsteps in the distance.

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