Like in title I'm looking for some old animated movie which I remember from past - I think it was around 1995 or something like this. I remember owl which always smoked cigar, and he had helper - little clumsy bat. Owl was always mean to that bat. They both was helping bad sorcerer (he was able to turn into dragon), who lived in big, dark castle.
About plot, there was princess, and that sorcerer wanted her. And of course there was some prince or knight that was fighting to rescue princess. Last thing I remember about it is the ending. Sorcerer was trying to change into dragon, but good guy killed him when he was half way. Sorcerer turned into rock as dragon with only human head.