I like AZ Jane's idea of giving her the cover later. I have been working with Peltex making some mobiles. This is what I do.
1. Cut your Peltex to the size you want it to cover the Atlas.
2. Cut your background fabric to fit your Peltex...I cover both sides...and then put fusible on the back side.
3. Trace your "Oh, the places you'll go" on to the smooth side of the fusible and then fuse it to the fabric you have chosen for your letters
4. Cut them out, and place them on your front cover (play with where you want to put them before you take the paper off)
5. Fuse the letters to the front cover
6. I use the blanket stitch on my machine to outline the design. And you are done.
Good luck, and good luck to your granddaughter on her travels.