We see the pages of a storybook where an animal, a dog, is sad because he is lost. In the story, we see the dog find his family again. Also, there are several times when the dragon is very sad.
Elliot is briefly captured but is rescued and freed. Later Elliot, Grace and Jack fall down a foggy chasm after a bridge Elliot set on fire collapses but he saves Grace and Jack and flies out, uninjured.