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Popeye, feeling sorry for the puppies in the window of Olive's pet shop, buys all the animals (mostly dogs) and sets them all free. All except for one bird, who refuses to go, singing the title song to explain why he likes it just fine in the shop. And sure enough, we see the dogs not faring particularly well, and getting rounded up by the dogcatcher and taken to the dog pound. Popeye gets there in time and ransoms them all, taking them back to their cages in the pet store, where the parrot sings a final "I told you so" verse.
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