Pink has a problem with a termite who devours every wooden item in his house.
The Pink Panther brings a log of wood into his house that has a little termite inside it. He inadvertently antagonizes the insect when he puts the log on the fire, and the termite vows to get even. The termite then begins a campaign of revenge against the Panther: sawing the legs of chairs out from under him, ruining the television set, and making jigsaw puzzles out of his paintings. After chasing the tiny vandal around the house and trying to stop him with a flyswatter and insect spray, the Panther puts a steel termite-proof door up, frustrating the termite. And, in a sudden brainstorm, he uses the termite to help build a new house.