Have children write their initials on a piece of paper in large letters. For example, James Thomas Bailey would write JTB across the middle of the page. You could even add a picture of the child, if you have a photograph on hand.
On another piece of paper, write your child's first initial on the top of the page. Then help your child cut out pictures that begin with that letter's sound, and glue them on the page matching the initial. For instance James would write a big "J", then cut out pictures that start with a J, such as jelly, jumping jacks, jar...
Make a similar page with the other initials.
Punch holes along the sides of the pages and use colored yarn to tie the pages together into a book.
This activity builds the developmental asset categories of commitment to learning, constructive use of time and positive identity.