Totoro, small Totoro, and Mei The thought of another snowstorm just makes me want to go home and watch My Neighbor Totoro. It's about these two sisters who move to the countryside. They suddenly realize that there are these "totoros" who live amongst them. What is a totoro you ask? Nausicaa.Net has the best FAQ about the film and has this answer:

"He has been called many things from "a giant furry thing" to "a rabbit-like spirit". Basically, he is a spirit of the forest. Totoro is not a traditional Japanese character: he came completely from Miyazaki's imagination. However, he is obviously a mixture of several animals: tanukis (the Japanese version of raccoons), cats (the pointed ears and the facial expressions), and owls (the chevron markings on their chests and the "ooo"-ing sound they make with their ocarinas at night)."

Director Hayao Miyazaki also directed Spirited Away, one of the best movies of 2002, nominated for an Academy Award for Best Animated film. Here's a comparison of the English dub and Japanese subtitles of My Neighbor Totoro. Lyrics to the opening song.