Abstract: A flying model rocket includes a body made up of several telescoping segments with a model rocket engine at one end. The telescoping segments are movable between a retracted condition, for ease of transport and storage, and an extended condition, for greater visibility. A recovery system includes a collapsible recovery surface, such as a parachute or paraglider, mounted to the outside of one of the telescoping segments, and a recovery surface containment structure, secured to an adjacent telescoping segment. According to the method of recovery, the recovery surface and the containment structure are positioned so that when their associated telescoping segments are telescopically retracted, the containment structure keeps the recovery surface in a stowed condition external of, and typically next to, the outer surface of the body.