as i recall, it was a fleece blankie.
i would use it for a fleece watchcap. you know, the kind that's usually black wool knit and has an all-round cuff. i've seen patterns for it, but you could probably copy the cap from an existing one. they're very easy. a self-lined tube that's sewn with four seams at the top. long enough to turn upthe bottom edfe.
maybe a matching scarf with a fringe end.
if your'e making dh a matching blankie, save the goodies for him.