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Television & Movies
- Dinosaurs Season 3 begins airing on ABC, September 18
- Dog City Season 1 begins airing on FOX, September 26
- The Muppet Christmas Carol released December 11
- Secrets of the Muppets airs on Nickelodeon
- Sesame Street Season 24 on PBS, November 9
- Muppet Babies repeats begin in syndication on Nickelodeon
- Muppet Meeting Film collections "Muppet Breaking Point" and "Muppet Mayhem"
- The Muppets appear in a series of five-minute comedy sketches on Good Morning America, beginning on February 18
- Elmo makes the first of several appearances on The Frugal Gourmet in March.
- The Muppets perform "It Feels Like Christmas" and Kermit and Miss Piggy do a sketch with Bob Newhart in the TV special Holiday Greetings from the Ed Sullivan Show on CBS.
- Miss Piggy appears on Terry Wogan's Friday Night
- Dinosaurs: Big Songs, October 9
- The Muppet Christmas Carol, November 10
- Sing: Songs of Joe Raposo, December 5
- Best Friends
- Big Bird's Adventure
- Big Bird Visits Navajo Country
- Bounce Along with Big Bird
- Bye-Bye, Blankie
- Ernie and His Merry Monsters
- Flip Flap Flop
- Fozzie Bear, Star Helper
- Grover's Guide to Good Manners
- Grover's 10 Terrific Ways to Help Our Wonderful World
- Happy and Sad, Grouchy and Glad
- I Want to Be a Cowboy
- I Want to Be a Veterinarian
- I'm Mad at You!
- It's Christmas!
- Kermit and the New Bicycle
- Kermit, Save the Swamp!
- Kermit's Cleanup
- Little Bert's Book of Numbers
- Little Elmo's Book of Colors
- Little Ernie's ABC's
- Little Grover's Book of Shapes
- New in Town
- Open Sesame
- Oscar's New Neighbor
- Piggy for President
- Piggy Isn't Talking
- Piggy Visits the Doctor
- Pop Goes the Santa!
- Rain Forest Adventure
- Say Bye-Bye
- Say Good Night
- The Sesame Street Book of Poetry
- Something Special
- Sweet & Silly Muppet Poems
- Too Little!
- We're Different, We're the Same
- What's Fair Is Fair
- The Big Squeak (UK release)
- Dinosaurs: Volume 4
- Dinosaurs: Volume 5
- Dinosaurs: Volume 6
- Disobedience School
- American Greetings cards
- Big Bird's Bucket of Fun
- Big Bird's Talking Bingo
- Carl's Jr. Muppet Parade of Stars Toys
- Dinosaurs Comics
- Dinosaurs View-Master reels
- Muppet Valentines (Gibson Greetings)
- MuppetZine is first published
- Li'l Busy Pals
- Richard Hunt dies, January 7
- Ton Hasebos dies
- The Jim Henson Legacy founded as a non-profit organization honoring Jim Henson as an artist
- Faz Fazakas, Brian Henson, Dave Housman, Peter Miller and John Stephenson, win the Academy Awards' Scientific and Engineering Award for developing the Henson Performance Control System.
- Lillias White wins the Daytime Emmy Award for Outstanding Performer in a Children's Series.
- "I'm the Baby (Gotta Love Me)" from Dinosaurs: Big Songs
Behind the scenes
- Steve Whitmire begins to regularly perform Beaker starting with The Muppet Christmas Carol
- Starting with The Muppet Christmas Carol, Jerry Nelson begins to regularly perform Statler (until 2003)
- Dave Goelz begins to regularly perform Waldorf starting with The Muppet Christmas Carol
Muppet Character Debuts
- Uncle Wally leaves Sesame Street