COZY
Make 2 sides
With A, Cast on 1 stitch
Row 1 Knit into the front and back of the stitch -- 2 stitches
Row 2 Knit into the front and back of each stitch -- 4 stitches
Row 3 Knit into the front and back of the first stitch, purl until there is one
stitch remaining, knit into the front and back of each stitch -- 6 stitches.
Row 4 Knit into the front and back of the first stitch, knit until there is one
stitch remaining, knit into the front and back of each stitch -- 8 stitches
Row 5 Knit into the front and back of the first stitch, purl until there is one
stitch remaining, knit into the front and back of each stitch -- 10 stitches
Row 6 Knit into the front and back of the first stitch, knit until there is one
stitch remaining, knit into the front and back of each stitch -- 12 stitches
Row 7 Knit into the front and back of the first stitch, purl until there is one stitch
remaining, knit into the front and back of each stitch -- 14 stitches
Row 8 Knit into the front and back of the first stitch, knit until there is one stitch
remaining, knit into the front and back of each stitch -- 16 stitches
Row 9 purl
Row 10 **Knit into the front and back of the first stitch, knit until there is one
stitch remaining, knit into the front and back of each stitch - 18 sts
Row 11 purl
Rows 12-32 Repeat from ** -- ending with 40 stitches
Row 33 Change to B, purl
Row 34 Knit into the front and back of the first stitch, knit until there is one
stitch remaining, knit into the front and back of each stitch.
Row 35 Change to C, purl
Row 36 Change to B, Knit into the front and back of the first stitch, knit until
there is one stitch remaining, knit into the front and back of each stitch.
Row 37 ***Change to C, purl
Row 38 Knit into the front and back of the first stitch, knit until there is one
stitch remaining, knit into the front and back of each stitch
Rows 39-44 Repeat from *** -- ending with 52 stitches
Row 45 Change to B, purl to end of row.
Row 46 Knit into the front and back of the first stitch, knit until there is one
stitch remaining, knit into the front and back of each stitch
Row 47 Change to C, purl to end of row.
Row 48 Knit into the front and back of the first stitch, knit until there is one
stitch remaining, knit into the front and back of each stitch
Row 49 Purl to end of row
Row 50 Bind off, weave in all ends.
FINISHING Using the large-eyed blunt needle and (A), start at the top of the cozy and sew the two sides together for about 6 inches [15 cm] on both edges. Leave an opening on each side (one for the spout and one for the handle. Starting just above the area with the band, sew together to the bottom using (C):  FELTING
Felting is a process whereby the wool is deliberately handled so that it is matted into a fabric. Wool fibers have scales and are also crimped. When these fibers are wetted and softened and then rubbed together they grab each other and are permanently bound together. This happens when you put a wool item in a washer and agitate it -- it comes out much smaller and also denser, because the fibers have bound together. Finished cozy size depends on how much the piece is felted. Keep in mind that you can always felt more, but once felting is done, it is not reversible. More about felting Felted Pom-poms
Wool pom-poms will felt. Three pom-poms were used with an un-felted tassel for the decorative 'handle' at the top. To create felted pom-poms, simply make small standard pom-poms with yarn that is about 1.5 inches in length. Tie tightly, leaving a long string (we made two black ones and one red one). Felt the pom-poms in the same load of wash with the cozy when it is being felted. Wash by machine on a hot wash/cold rinse cycle with detergent and several pieces of clothing to agitate. At the end of the wash cycle measure the cozy by putting it on your teapot. If it fits, stop! Place it flat to shape and let dry. If it is larger than you want, you can felt it additionally, if you dry by machine on a regular setting until almost dry. Remove from dryer and lie flat to shape. Iron if desired. If the cozy is still too large, you can felt it additionally by washing again. Felting is often improved by adding about 1/2 cup baking soda to the wash water to increase the alkalinity. HANDLE Make a 3-inch tassel by wrapping (A) and (C) yarn 6 times each around your hand (or a 3-inch piece of cardboard if you prefer.)  
Tie off yarn at one end, leaving 6 inches on the yarn used for tying off and cut the tassel at the bottom 
Using (B), wrap the top of the tassel and finish it. Thread the yarn used to tie off into the large-eyed, blunt needle and sew through the top of the cozy per the photograph. Tie off inside cozy. Trim the pom-poms to a round shape and a size that you like (they tend to be a little scraggly after being felted). Thread their strings into the needle and sew through the top of the cozy per the photograph. Tie off inside cozy.
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