In a turnabout on ""The Ugly Duckling,"" a young caterpillar must make the best of things when she turns into a mere butterfly instead of a ""splendid shiny dragon"" like her friend Ian. Caterpillar's gushing admiration of snakelike gold and green Ian and the soulful looks that pass between the pair are initially ingratiating. But by the time the butterfly has saved Ian's life--fanning away the asphyxiating cloud fed by his tears--and the two have decided to be ""different kinds of dragons"" and fast friends one recognizes an all too familiar cop-out. The smoke can't disguise the fact that butterfly and Ian have little in common and even Delaney's verdant graphics can't cover up the pointless posturing. A silly grin of a tale with little staying power.