James Suartt Blackton is the artist. He draws a sketch of the head of a bald elderly gentleman. Then he draws a sketch of a glass and bottle of wine. He then grabs for the bottle and the glass and they become real. He pours a drink for himself, and then pours one for the sketch, which smiles when presented with the libation. Next the artist draws a top hat on the head and when he reaches for it, the hat also becomes real. You don't see a cigar drawn on the sketch's mouth, but now there is indeed a cigar there, and the drawing frowns when the artist removes it. The artist takes a hat and cigar and places it on the drawing, they become part of the sketch, and again the face smiles.
Blackton started out as a journalist and a vaudeville cartoonist. In 1896, he was assigned to cover Thomas Edison's new invention - the Vitascope, an early film projector. Blackton liked the product so much he bought one. This led to Blackton and his vaudeville partner Albert Smith founding one of the first ever movie studios - the American Vitagraph Company. One of their first films was this one. In 1911, Blackton, along with his co-director Winsor McCay, made Little Nemo, a movie that hinted at the true potential of animation.