Teddy Town is a stub.
Teddy Town was a fictional television program that pookies could watch when they sat down by a television. The origin is unknown.
Since Teddy Town was fictional and not actually a television show on Club Penguin, pookies would simply say something along the lines of "Watches Teddy Town". Mumus would also embrace this, and could say, upon entering the pet shop, "Steps out of Teddy Town jet!", or, "Is the creator of Teddy Town!".