The central purpose of storytelling in the classroom is for enjoyment, both on the part of the storyteller and the audience. On the other hand, especially when time is allotted for storytelling during reading instruction periods, teachers can integrate the art of storytelling with practical competence building activities. For example, the tale of the three bears can provide direct instruction in sequencing and cause and effect. In addition, storytelling enhances language appreciation, creativity, self-expression, and group cooperation. Storytelling can be used in the Tennessee Instructional Model (TIM), in all three major areas of the model--set, direct instruction, and closure. As part of "set" in TIM, storytelling can help orient learners to the lesson which follows. Storytelling fits in the direct instruction portion of TIM when combined with retelling and oral or written questioning strategies. Storytelling can enhance closure by serving as a topic summary, a precursor to a new unit, or as a way of promoting mood. Holistically, storytelling helps the learner's ability to reason, remember, see similarities and differences, determine relationships, and think critically. (Two figures and a sample storytelling card are provided, including suggestions for storytellers. (MM)