By the way, I do intend to include my children in our rituals and celebrations. We'll be dancing 'round the Maypole on Midsummer's Eve, and I'll be blessing the family with blots (non-alcoholic Meade used with the kids, of course ^_^).
But I won't tell them that Woden is "real", and that not believing in him will lead to bad times. (For the record, they also won't be told that Santa, the Tooth Fairy, or any of those figures are "real", either. Daddy or Mommy become Santa on Midwinter's Eve.) Our rituals are more for the family and social connections, and would be perfectly okay if they convert to Christianity, Islam, or declare themselves atheists. Long as they don't try to make us do likewise, we're all good.
I will raise them with our stories, yes(that is, the legends and fairy tales of Northern Europe), but they'll be familiar with Biblical stories, Greco-Roman epics, Vedic and Puranic legends, the parables of Jesus, Arabian Nights, Islamic legends, and stories from all over the world. I'll be teaching them about our religion, as well as other religions. Because of a standard assumption that I remember many kids had, I'll try to help them understand that adults aren't always right, and will often disagree.
Forcing a religion on children, especially with the threat of hellfire, may not be brainwashing, but it's still a terrible practice. Raising children in a religion, with the understanding that the child could change or drop religions with absolutely no fear of family breakage, is fine.