Cute episode, I like the rare instances we get with Baloo as a surrogate parent figure to Molly, giving further enthasis of the team being a family (wished just once she'd refer to him as 'Papa Bear' though, that would really solidify things).
The setup is a bit rough and 'silly' in places, the 'Candy Cane fairy' idea seemed a bit of a random concept to quickly start off the plot. There are fairies for everything these days, huh?
I definitely agree with the reviewer that Louie as Santa Claus was a big bonus, his portrayal had a touch of sentimentality too, resentfully taking up the embarrassing role and then slowly 'becoming the mask' and rather warmly entertaining Molly. Looks like he has his own line of merchandise as well (anyone want a Louie jack in the box).
The revelation scene came off as kinda sociopathic, with everyone laughing as poor Molly is reduced to tears (all that's missing is the toothless janitor pointing at her and we have a Austin Powers III replicant. "...Dad?..."

).
The ambiguous presence that rejuvinates Molly's faith in Xmas is either highly poignant or gonna leave you going 'WTF IS GOING ON?' It's neverless cute.
The animation is decent if not the show's best, the unique title card was also a neat touch (anyone get a Chuck Jones feel from that odd Molly art?). I also heard this was the final episode in production order, if so it would have been a pretty nice way to close the series, with the cast in their near entirety placed in a rather sentimental family focused story.