How to shorten a ribbon-handled gift bag

Start with a bag you would like to decrease in height.

Lay flat.

Cut across where the flat bottom meets the upper part of the bag.

The 2 pieces will be different heights, but the bottom will need to be cut the same as the upper piece.

Using the upper piece as your guide, draw a line across the bottom piece measuring the same height.

Situate bag on its bottom.

Cut across your measurement line.

Remove strip.

Untie handles & remove. (Edit: May want to do this as your 1st step before any cutting is done.)

Unfold inner flaps.

Take this upper (outer) piece & place over bottom (inner) piece. Push all the way down until it meets the bottom edge.

Fold flaps back down covering inner piece.

Use your hole punch to cut through each ribbon hole.

This opens a hole through all the layers.

Thread your ribbon handles through the holes & retie the knots.

All done! Your new caddy!

If you want to make your caddy sturdier - if lifting heavier items - then tape down the inside flaps.