We also made these little guys at our monthly stamp club. They are Hershey's nuggets wrapped with little strips of paper (or you can use printer labels) and hand drawn faces. The hats are made by cutting off the fingers from knit stretchy gloves. You can find 2 pairs for $1 at Dollar Tree. Just roll the finger down to shape into a hat, then attach to the nugget with a glue dot or piece of sticky tape.
This would be an excellent kids craft. Pre-cut the gloves apart and give them the pieces. So cute and you can make a bunch in no time. Thanks for looking! April