free open source "Meet Tux the Penguin" application.
Just download, unzip, and burn to a CD -- making sure that the application is in the root drive of the CD --in other words, not inside a folder.
All the programs will run from the CD -- you don't have to install anything on your Computer. The CD will autorun.
Educational: Tux Paint, Tux Typing2, Tux Math of Command
Fun Games: Tux Racer, Super Tux, Icebreaker (xonix clone)
PDF Print-outs: Tux Origami, Tux Buttons (or stickers)
Plus a short lesson on operating systems, Tux and open source, including direct links to Wikipedia sources.