In regards to the food, may I suggest you put Annie's food on a counter or another place that is high? Annie can jump up and eat but your puppy can't. That's what I do with my cats food.

When my dog Fenway was introduced to my kitties, Maxie and Cosmo, there were all types of emotions going on! Fenway chased Maxie but Maxie is a tough cat and he turned around and chased Fenway. Now Fenway knows not to chase Maxie or he'll get beaten up. However, Fenway and Maxie will sleep together so there's some love there. But Fenway also knows Maxie wears the pants in the family.

However, Cosmo is another story. Fenway will chase Cosmo because Cosmo is a little chicken and won't stand up for himself. What I do (or did) is tried to distract my dog with toys and attention whenever he tried to run after Cosmo. I'd get him to be more interested in the toys rather than Cosmo. When he chased Cosmo, I'd say "no" or "leave it".

To be honest, it took awhile for him to finally leave Cosmo alone (and to this day, he will SOMETIMES chase him). It just takes patience. After awhile your new puppy will get the hint that Annie doesn't really want to play and isn't a squeeky toy. Your puppy will be bored with Annie.

As for Annie, she will come out of her shell (or out from under the bed) eventually. But it may take time.

Don't worry too much about her. She knows you still love her. Who know's, they may eventually be friends (like Fenway and Maxie).

Good luck.