This paper presents a study investigating EFL teachers' views on the educational values of English picture story books in Taiwan. Ten teachers with experience of using the books with primary school children participated in this study. The results suggest three main educational values perceived by the teachers: (1) linguistic value, (2) the value of the story, and (3) the value of the picture. A pattern of how the teachers presented the books also emerged from the data: the majority of the teachers perceived themselves as a mediator whose job was not to transmit the meaning of the book to the students, but to encourage participation and interaction.