Children learning to read are often exposed to "stories" which are really little more than lists of sentences. A good story has at least continuity and conflict which may be analyzed in two ways: story grammar (analysis of setting and plot) and plans and beliefs (analysis of the plans and beliefs of the characters, including the reader's understanding of the events of the story). Using the story "The Fox and the Rooster" to illustrate these two methods of text analysis, we find that story grammar provides a summary of events but ignores the internal structure of the plans and the beliefs of the characters concerning actions which occur. A plans and beliefs analysis includes an analysis of the reader because individuals have different beliefs and expectations (for example, about foxes, roosters, dogs, and stories). Sometimes the writer's understanding and the reader's understanding are different, and "misunderstanding" of the story results. This appears as a reader comprehension problem but may be a problem of point of view about social roles and behavior as discovered through a plans and beliefs analysis. (TJ)