ACT I – Scene I – The Square in Barcelona
Kitri, the daughter of the innkeeper, is in love with Basilio, the barber. Lorenzo, her father, wants his daughter to marry the foppish rich nobleman, Gamache and has forbidden Kitri from seeing Basilio. This plan horrifies the beautiful Kitri who is playing in the square with her friends. Don Quixote, who imagines himself a knight and is preoccupied with the world of chivalry, enters the square with Sancho Panza, his Squire. The friends of Kitri tease Sancho Panza and laugh at his clumsy attempts to play Blind Man’s Buff. Don Quixote intervenes to defend his friend and stop the teasing. Suddenly, he sees Kitri and mistakes her for Dulcinea, his dream of the ideal woman he defends as a knight In the excitement, Kitri and Basilio steal away. They are pursued by Don Quixote, Sancho Panza, Lorenzo and Gamache.
ACT I – Scene II – A Gypsy Encampment
Gypsies and strolling players, alerted to the imminent arrival of Don Quixote and Sancho Panza, prepare to trick the knight. The Gypsy leader welcomes them and calls for the entertainment to begin. Suddenly, Don Quixote see the windmills and mistakes them for menacing giants. He tries to attack them, only to be caught up in one of the wings and tossed in the air. He is hurled to the ground and falls into a deep sleep.
ACT I- Scene III – A Forest, Dream Scene
Don Quixote is still stunned from his fight with the windmill. He dreams he is a noble knight in the court of Kitri, his symbol of Dulcinea, and her beautiful maidens. In his dream he meets the Dryad Queen and Cupid who thoroughly enchant him.
ACT II – Scene I – The Tavern
The innkeeper, Lorenzo, has finally caught Kitri and Basilio. He forces his daughter to agree to the marriage with Gamache. In desperation Basilio pretends to fatally stab himself. As he lies dying, he begs to be united to his love. Kitri begs Don Quixote to convince Lorenzo to grant Basilio’s last request and allow the young couple to marry. Don Quixote pleads with Lorenzo, and he finally is persuaded to give his blessing. Basilio then jumps up, miraculously cured!
ACT II – Scene II – In the Main Square of Barcelona, The Wedding
Everyone in the village is joyfully celebrating the marriage of Kitri and Basilio. Don Quixote is the guest of honor, and the blissful couple show their appreciation by dancing a grand pas de deux. After congratulating Kitri and Basilio, Don Quixote gallantly bids everyone farewell. He and Sancho Panza then set off for further adventures.