Covington, a notorious jewel thief, hides a valuable item in the Sea Duck. When he tries to retrieve it, however, he discovers that Baloo and Kit have cleaned out the plane and Molly has added the item to her doll collection.

Baloo's bad spelling hampers Rebecca's attempt to go into the skywriting business. Meanwhile, a notorious criminal uses the skywriting to attempt to send coded messages to his henchmen and hold Cape Suzette for ransom.