Hi all- here's an update on project. I was able to finish the little t-shirt by placing pieces of a coffee filter under the seams. It pulls out fairly easily when finished. I'm not real proud of the way it turned out because it would still stretch as I sewed, turns out a little wavy.
Seeing DGD this coming week-end and she won't notice I'm sure and they will have matching outfits.
Pam, I haven't heard about holding the threads when starting to sew, so will defintely gave that a try. Also went to LQS yesterday and bought the smallest ball point needle that they had. I was using one but may have been too large. I will update again after trying these ideas on next project. I found the web-site for knits helpful, also. Thanks again for the advice.