lunch bag is in a back issue of the computer mag, Knitty. It's a felted bag made in the round on big fat needles. Try it!
If you're new to the idea of knitting in the round, this is a good pattern for you. The bottom is worked back and forth, and then the edge stitches are picked up to make the body of the bag. The clasp keeps the bag closed and in shape, so the shaping is minimal. Make it in crayon-bright colors or traditional brown; it's a great gift for just about anyone! (Apple optional)
I love knitting in the round now, but remember how intimidating I found it back when I started. I wish I had started on a pattern like this one! There is no danger of twisting or messing up the join because you're picking up stitches. If you're new to picking up stitches, remember to pick them up on a needle at least two sizes smaller than your working needles. (You can pick up on straights.) It makes it a smooth and easy process, and leaves plenty of room in the stitches to be worked.
New to felting? There is absolutely nothing to worry about. This felting project has great instructions right in it. Further felting info can be found here, including history, needle felting, washer felting, and how to info.