This fabric bundle is Picnic and Fairgrounds by Denyse Schmidt, sold exclusively at Joann in the USA and eventually (May 2011) at Spotlight Australia, but also re-sold on Etsy through several sellers. I purchased my bundle here.
It is only fabric and I have cut into it already! I've started by whipping up a small storm of patchwork. It handles, feels and stitches much like any other quilting weight cotton. Picnic and Fairgrounds also combines well with both the earlier fabric collections by Denyse Schmidt - Katie Jump Rope and Flea Market Fancy.
But then again there are many fabrics in my stash that will go nicely with these prints.