The kobold pulls out a small monocle, and after examining the rug with it for some time, says "
Ok, I'll trade this carriage for the carpet if you want. Feel free to examine it, but I'll hold onto the carpet if you want to take it for a ride."
He pulls out a small wooden figurine of what looks like a carriage or stagecoach. When he places it on the ground and speaks a word in draconic, it turns into a full sized carriage complete with four translucent steeds harnessed to it. Their reins hang in the air over the driver's seat, as if held by invisible hands.
[spoiler]No one said anything about checking the "rug" to see if it was magical, even after I repeatedly mentioned how nice it was, and that it had
a scene of clouds over an arabic looking landscape. Luckily for you... the kobold isn't just
good... he's freakin'
Exalted. So he won't even try to rip you off.
The carriage is a version of
this, with an upgraded caster level (14th) so that it gets full-blown flight.
What kind of info are you looking for exactly? Just about current happenings? Local gossip? Or are you specifically asking questions about Pun-Pun?
Edit: You do hear that supposedly Pun-Pun killed the sun god. The prayers of his clerics have since went unanswered, and the sun no longer rising is a direct result of his death.
You also hear that there have been plagues of undead sweeping across the lands to the west, across the sea of fallen stars, and that most of the smaller towns have probably fallen to them already, as well as at least a couple of larger ones (one of which your recognize as the place where you retrieved the "rug" from. The incorporeals seem to be the worst, as they are normally kept at bay by the sun. Given that anyone killed by them rises as one themselves, even what might be a small "infestation" of them can consume an entire town if left unchecked. They are also harder to totally wipe out, as they can hide inside of objects and even the ground if someone powerful comes along to try and get rid of them.[/spoiler]