gift exchange
I've done this the past 3 years and I haven't had any problems. I tell them it has to be a $5. gift (no $1. coloring books or $15. game). They have to bring them in ahead of time - 1 week early.
For games, mine are usually more interested in spending time talking with friends. I sometimes show Santa Clause (with Tim Allen), or you can show Polar Express now. Something I'm going to do is have them help me write a new version of The 12 Days of Christmas. I'm going to start it off with "On the 1st day of Christmas, my teacher gave to me....a headache from too much homework". I think they'll enjoy it. I may chicken out with the headache part and do something more positive like, "...a pencil with a fun eraser" instead. I don't know yet.