A round baler having a wrapping apparatus for wrapping bales with twine includes a twine dispenser moveable generally between the sidewalls for dispensing at least one strand of twine around the bale. The wrapping apparatus includes a retractable twine guide for spacing the twine wrapped around the bale a certain distance from one of the sidewalls. The guide is shiftable into and out of an operating position, in which the guide engages and maintains the twine the distance from the one sidewall. The wrapping apparatus further includes a twine cutter for severing the twine at the end of each wrapping cycle. Power mechanism, such as a hydraulic cylinder, is provided for simultaneously operating the twine cutter and the twine guide.