Fair

It's O's birthday, but R has forgotten to get him a present! Can she magic up a big wheel, a helter-skelter and a hall of mirrors from thin air? 

This episode introduces the '-er-' digraph, the '-air-', '-ure-' and '-ear-' trigraphs and the words air, fair, chair, pair, cure, big, bigger, thin, thinner, ear, hear, near and box.