The objective of the present study was to highlight preschool children’s encounters with children’s literature, in a heterogeneous language context.  The idea was to identify significant features in the linkages between the reading of children’s literature, didactic activities and children’s learning, language development and emergent literacy activities.  Our interest was directed towards the activities connected with read-alouds, as well as the preschool teacher’s perceptions of those activities.  The empiric material was collected by use of participant observations of four read-aloud sessions. After the observations the preschool teacher in charge of the observed read-aloud was in-depth interviewed. In addition, the physical print environment in the actual preschool was observed. The results indicate that the physical and social reading environment interact with each other.  Furthermore, the preschool  teachers’ approaches and ways of working with literature does not always optimize the language, literacy and content area  learning opportunities for the children. Read-alouds were often held in connection with meals, during the so called reading rest.  Our conclusions are that the learning conditions would be further optimized if read-alouds were conducted when the children are alert and if follow-up activities including dialogues were made standard.