These scarves were knit in the round with steeks. The steeks were sized so that the stitches there would become the fringe. The pattern is available as a pdf here or at the link in the left bar.
This scarf is the 3 color variation. It uses 1 skein of Cascade 220 (color 2413), 1+ skein of Nashua Handknits Wooly Stripe (color 31 Fiesta), and 1/2 skein of Crystal Palace Party ribbon yarn (color 211 lacquer red). I ended up needing a tiny bit of a second skein of the wooly stripe; decreasing the number of stitches to 220+22 for the fringe/steek would probably keep it at one skein (your knitting mileage may vary).
The pattern contains a lot of photographs. I want to add them here as well (my apologies to those of you on dial-up) so they can be viewed at a larger size (all are clickable).
Casting on is a little different. This is necessary to make the fringe work. It starts with a slip knot loop 9 inches long. The slip knot is held below the needle and the long tail cast-on proceeds like usual.
The cast-off is a little different too. There is no need to cast-off the steek stitches since they will be unraveled. The last stitch loop does need to be secured by pulling the tail through. The tail should be trimmed long enough to become part of the fringe.
I had a lot of fun making these scarves. I plan to make at least one more using all the bits and pieces of red yarn. I think I will try doing it in seed or moss stitch so I can play with that texture. Any pattern stitch that will give a flat, non-curling fabric should work. Be sure to adjust the number stitches to work with the pattern stitch and think about whether it will look appropriate on a scarf that is knit lengthwise. I would love to see what you do with the pattern.