This dilemma demonstrates character, the recipient's and the giver's. I think no matter what, something made for you should be treated with respect. But-once given, it's out of one's control.
It is SO hard to keep your mouth shut and to take the "high road". She's your friend of fifty years and that's really an accomplishment these days--
so try to laugh about it to yourself. I'm sure she didn't mean to hurt you.
Education is, indeed, the key.
BTW-I love kitty fabrics, too. To comfort yourself, think of all the fun you had visiting the various quilt and fabric shops when you bought the fabrics! :lol: