In the comments, Oren addressed exactly that particular question:
"We didn't scrap the models, but yes, we scrapped almost all the animation and almost all the layout and all the lighting. And it was worth it.
Changing the script saved the film, which in turn allowed Buzz and Woody to carry on for future generation (see ToyStory3 for how awesome that universe continues to be - well done to everyone who worked on the lastest installment!) and, in some ways, set a major cornerstone in the culture of Pixar. You may have heard John or Steve or Ed mention "Quality is a good business model" over the years. Well, that moment in Pixar's history was when we tested that, and it was hard, but thankfully I think we passed the test. Toy Story 2 went on to became one of the most successful films we ever made by almost any measure.
So, suffice it to say that yes, the 2nd version (which you saw in theatres and is now on the BluRay) is about a bagillion times better than the film we were working on. The story talent at the studio came together in a pretty incredible way and reworked everything. When they came back from the winter holidays in January '99, their pitch, and Steve Jobs's rallying cry that we could in fact get it done by the deadline later that year, are a few of the most vivid and moving memories I have of my 20 years at the studio."
I found this PDF[0] that purports to be the first draft of the script, but I can't vouch for its authenticity. It was linked from this summary on a Pixar fan wiki[1].
How is it possible to get a remake done by deadline? How did the original have so much extra time padded into its schedule?
> Steve Jobs's rallying cry that we could in fact get it done by the deadline later that year
There interesting but here is that Jobs didn't know if his cry was true. But he needed it to be true, so it was. Jobs was a member of the "action-based community", not the "reality-based community" https://en.wikipedia.org/wiki/Reality-based_community
They got it done by killing everyone, working multiple shifts, 24/7, no days off, etc. Some people left after it was over, due to burn out. Surviving TS2 was a test of Pixar's resilience that they passed, but at a cost.
"We didn't scrap the models, but yes, we scrapped almost all the animation and almost all the layout and all the lighting. And it was worth it.
Changing the script saved the film, which in turn allowed Buzz and Woody to carry on for future generation (see ToyStory3 for how awesome that universe continues to be - well done to everyone who worked on the lastest installment!) and, in some ways, set a major cornerstone in the culture of Pixar. You may have heard John or Steve or Ed mention "Quality is a good business model" over the years. Well, that moment in Pixar's history was when we tested that, and it was hard, but thankfully I think we passed the test. Toy Story 2 went on to became one of the most successful films we ever made by almost any measure.
So, suffice it to say that yes, the 2nd version (which you saw in theatres and is now on the BluRay) is about a bagillion times better than the film we were working on. The story talent at the studio came together in a pretty incredible way and reworked everything. When they came back from the winter holidays in January '99, their pitch, and Steve Jobs's rallying cry that we could in fact get it done by the deadline later that year, are a few of the most vivid and moving memories I have of my 20 years at the studio."
https://www.quora.com/Did-Pixar-accidentally-delete-Toy-Stor...