The Hobbit Made Official!!!

ACADEMY AWARD-WINNER PETER JACKSON AND

NEW LINE CINEMA JOIN WITH MGM

TO PRODUCE “THE HOBBIT,”

EAGERLY-ANTICIPATED FANTASY ADVENTURE EPIC

NEW LINE AND MGM TO CO-PRODUCE AND

SHARE WORLDWIDE DISTRIBUTION RIGHTS

PETER JACKSON AND FRAN WALSH TO EXECUTIVE

PRODUCE TWO FILMS BASED ON “THE HOBBIT”

Los Angeles, CA (Tuesday, December 18, 2007) Academy Award-winning filmmaker Peter Jackson; Harry Sloan, Chairman and CEO, Metro-Goldwyn-Mayer Studios Inc. (MGM); Bob Shaye and Michael Lynne, Co-Chairmen and Co-CEOs of New Line Cinema have jointly announced today that they have entered into the following series of agreements:

* MGM and New Line will co-finance and co-distribute two films, “The Hobbit” and a sequel to “The Hobbit.” New Line will distribute in North America and MGM will distribute internationally.

* Peter Jackson and Fran Walsh will serve as Executive Producers of two films based on “The Hobbit.” New Line will manage the production of the films, which will be shot simultaneously.

* Peter Jackson and New Line have settled all litigation relating to the “Lord of the Rings” (LOTR) Trilogy.

Said Peter Jackson, “I’m very pleased that we’ve been able to put our differences behind us, so that we may begin a new chapter with our old friends at New Line. ‘The Lord of the Rings’ is a legacy we proudly share with Bob and Michael, and together, we share that legacy with millions of loyal fans all over the world. We are delighted to continue our journey through Middle Earth. I also want to thank Harry Sloan and our new friends at MGM for helping us find the common ground necessary to continue that journey.”

“Peter Jackson has proven himself as the filmmaker who can bring the extraordinary imagination of Tolkien to life and we full heartedly agree with the fans worldwide who know he should be making ‘The Hobbit,’” said Sloan, MGM’s Chairman and CEO. “Now that we are all in agreement on ‘The Hobbit,’ we can focus on assembling the production team that will capture this phenomenal tale on film.”

Bob Shaye, New Line Co-Chairman and Co-CEO comments, “We are very pleased we have been able to resolve our differences, and that Peter and Fran will be actively and creatively involved with ‘The Hobbit’ movies. We know they will bring the same passion, care and talent to these films that they so ably accomplished with ‘The Lord of the Rings’ Trilogy.”

“Peter is a visionary filmmaker, and he broke new ground with ‘The Lord of the Rings,’” notes Michael Lynne, New Line Co-Chairman and Co-CEO. “We’re delighted he’s back for ‘The Hobbit’ films and that the Tolkien saga will continue with his imprint. We greatly appreciate the efforts of Harry Sloan, who has been instrumental in helping us reach our new accord.”

The two “Hobbit” films – “The Hobbit” and its sequel – are scheduled to be shot simultaneously, with pre-production beginning as soon as possible. Principal photography is tentatively set for a 2009 start, with the intention of “The Hobbit” release slated for 2010 and its sequel the following year, in 2011.

The Oscar-winning, critically-acclaimed LOTR Trilogy grossed nearly $3 billion worldwide at the box-office. In 2003, “Return of the King” swept the Academy Awards, winning all of the eleven categories in which it was nominated, including Best Picture – the first ever Best Picture win for a fantasy film. The Trilogy’s production was also unprecedented at the time.

Judge Sides with PJ

New Line fined in 'Lord of the Rings' court battle

A judge orders the studio to pay $125,000 and hire an outside document retrieval service after evidence in director Peter Jackson's accounting lawsuit isn't produced.
By John Horn, Los Angeles Times Staff Writer
September 21, 2007
Peter Jackson has scored a legal victory in his battle with New Line Cinema over the accounting of the "Lord of the Rings," with a federal magistrate hitting the studio with $125,000 in sanctions for failing to produce potential evidence.

Jackson is suing New Line, contending that he had not received a fair and proper accounting of the first "Lord of the Rings" film's income, including DVD sales and foreign receipts. All told, the "Lord of the Rings" trilogy sold about $3 billion of movie tickets worldwide.

The lawsuit does not specify monetary damages, but is believed potentially to include tens of millions of dollars for Jackson. The lawsuit has driven a wedge between Jackson and New Line, and delayed development of a contemplated New Line-MGM movie based on "The Hobbit," a related novel written by "Lord of the Rings" author J.R.R. Tolkien.

Lawyers for Jackson and New Line did not immediately reply to a request for comment.

In an often angry ruling dated Sept. 18, U.S. Magistrate Judge Stephen J. Hillman found that New Line may have destroyed (or failed to prevent the destruction of) documents and failed to search diligently for documents and e-mails it was required by the court to produce. Hillman recounts any number of examples where the studio's searches were not meaningful or "haphazard." He was particularly critical of how New Line treated e-mails related to the film and its accounting.

"No witness can say with any degree of certainty what individuals searched their own e-mail files or how any of those searches were conducted," the magistrate wrote. Furthermore, he wrote, "New Line did not suspend the automatic deletion of e-mails and other electronic documents as part of a litigation hold; instead, to this day, e-mails continue to be purged from every employee's in-box every thirty days."

Convinced New Line has not and will not scour its electronic records appropriately, Hillman instructed the studio to retain and pay for an outside document retrieval vendor within three weeks. He also said some New Line witnesses may face further depositions to discuss new documents that should have been produced earlier but weren't.

The $125,000 in sanctions is intended to reimburse Jackson's attorneys some of their costs in pursuing the documents. In July 2006, Hillman ordered New Line to produce sales and licensing documents the studio had argued were confidential and proprietary.

Dork Tower Rips New Line A New One

More Hobbit Updates!

New Line's given reason for proceeding sans Jackson is that the studio's rights to the pic are about to expire, and seeing as the lawsuit with Jackson isn't moving ahead, well, the message was that New Line is.

All of this has riled MGM, which in recent weeks has been openly touting the fact that the newly revamped studio is serious about making "The Hobbit" -- with Jackson.

An MGM spokesman said that "the matter of Peter Jackson directing 'The Hobbit' films is far from closed."

Though New Line no-commented inquiries about Jackson's statement, the mini-major's move is a loud statement to both MGM and Jackson that the studio is in the driver's seat when it comes to "The Hobbit."

Jackson noted in his letter that New Line exec Mark Ordesky, who shepherded the "Rings" trilogy, explained that New Line is ditching Jackson because it has a "limited time option" on the film rights obtained from Saul Zaentz.

There are already online revolts from fans who can't fathom a "Hobbit" directed by anyone else, and Jackson makes clear in his letter that he's not budging on the issue of the lawsuit or "The Hobbit."

PJ Off The Hobbit!!

All I can do is post this in full so everyone can see what a screwed up decision New Line has made.... I hope they all die horrible deaths!!!!!

Dear One Ringers,
As you know, there's been a lot of speculation about The Hobbit. We are often asked about when or if this film will ever be made. We have always responded that we would be very interested in making the film - if it were offered to us to make.

You may also be aware that Wingnut Films has bought a lawsuit against New Line, which resulted from an audit we undertook on part of the income of The Fellowship of the Ring. Our attitude with the lawsuit has always been that since it's largely based on differences of opinion about certain accounting practices, we would like an independent body - whether it be a judge, a jury, or a mediator, to look at the issues and make an unbiased ruling. We are happy to accept whatever that ruling is. In our minds, it's not much more complex than that and that's exactly why film contracts include right-to-audit clauses.

However, we have always said that we do not want to discuss The Hobbit with New Line until the lawsuit over New Line's accounting practices is resolved. This is simple common sense - you cannot be in a relationship with a film studio, making a complex, expensive movie and dealing with all the pressures and responsibilities that come with the job, while an unresolved lawsuit exists.

We have also said that we do not want to tie settlement of the lawsuit to making a film of The Hobbit. In other words, we would have to agree to make The Hobbit as a condition of New Line settling our lawsuit. In our minds this is not the right reason to make a film and if a film of The Hobbit went ahead on this basis, it would be doomed. Deciding to make a movie should come from the heart - it's not a matter of business convenience. When you agree to make a film, you're taking on a massive commitment and you need to be driven by an absolute passion to want to get the story on screen. It's that passion, and passion alone, that gives the movie its imagination and heart. To us it is not a cold-blooded business decision.

A couple of months ago there was a flurry of Hobbit news in the media. MGM, who own a portion of the film rights in The Hobbit, publicly stated they wanted to make the film with us. It was a little weird at the time because nobody from New Line had ever spoken to us about making a film of The Hobbit and the media had some fun with that. Within a week or two of those stories, our Manager Ken Kamins got a call from the co-president of New Line Cinema, Michael Lynne, who in essence told Ken that the way to settle the lawsuit was to get a commitment from us to make the Hobbit, because "that's how these things are done". Michael Lynne said we would stand to make much more money if we tied the lawsuit and the movie deal together and this may well be true, but it's still the worst reason in the world to agree to make a film.

Several years ago, Mark Ordesky told us that New Line have rights to make not just The Hobbit but a second "LOTR prequel", covering the events leading up to those depicted in LOTR. Since then, we've always assumed that we would be asked to make The Hobbit and possibly this second film, back to back, as we did the original movies. We assumed that our lawsuit with the studio would come to a natural conclusion and we would then be free to discuss our ideas with the studio, get excited and jump on board. We've assumed that we would possibly get started on development and design next year, whilst filming The Lovely Bones. We even had a meeting planned with MGM executives to talk through our schedule.

However last week, Mark Ordesky called Ken and told him that New Line would no longer be requiring our services on the Hobbit and the LOTR 'prequel'. This was a courtesy call to let us know that the studio was now actively looking to hire another filmmaker for both projects.
Ordesky said that New Line has a limited time option on the film rights they have obtained from Saul Zaentz (this has never been conveyed to us before), and because we won't discuss making the movies until the lawsuit is resolved, the studio is going to have to hire another director.
Given that New Line are committed to this course of action, we felt at the very least, we owed you, the fans, a straightforward account of events as they have unfolded for us.

We have always had the greatest support from The Ringers and we are very sorry our involvement with The Hobbit has been ended in this way. Our journey into Tolkien's world started with a phone call from Ken Kamins to Harvey Weinstein in Nov 1995 and ended with a phone call from Mark Ordesky to Ken in Nov 2006. It has been a great 11 years.

This outcome is not what we anticipated or wanted, but neither do we see any positive value in bitterness and rancor. We now have no choice but to let the idea of a film of The Hobbit go and move forward with other projects.

We send our very best wishes to whomever has the privilege of making The Hobbit and look forward to seeing the film on the big screen.

Warmest regards to you all, and thanks for your incredible support over the years.
We got to go there - but not back again ...

Peter Jackson and Fran Walsh

More Official Word on The Hobbit

The Hobbit: MGM chairman and chief executive Harry Sloan confirmed that MGM was in advanced talks with Peter Jackson to make two movies based on JRR Tolkien's "prequel" to "The Lord of the Rings."

The first would be a direct adaptation of The Hobbit, and the second would be drawn from "footnotes and source material connecting 'The Hobbit' with 'Lord of the Rings,'" he explained.

An MGM spokesman emphasized that negotiations with Jackson are still in progress, and that production isn't likely until 2008 or even 2009.

Hobbit Update: MGM Speaks!

After announcing that MGM wanted to make The Hobbit, and Peter Jackson stating that no studio has even approached him about it... here's a bit of encouraging news.

There has been an online petition to get The Hobbit made... that petition, with the 39116 signatures accumlutated at the time of printing, was delivered to the studios along with a copy of MrCere's open letter to the studios. No response from New Line at all... but MGM had something to say:

Dear organizers of The Hobbit Petition:

We would like to give you the official statement from Rick Sands, COO of Metro-Goldwyn-Mayer Studios Inc. Feel free to pass this along to your members and affiliated web sites. Thank you and please see below:

"Peter Jackson's phenomenal success with The Lord of the Rings trilogy makes him the first and most ideal choice for directing The Hobbit," said MGM COO Rick Sands. "MGM would be thrilled to collaborate with the Academy Award-winning director on this MGM New Line Cinema production. And, I'm sure to the delight of the 50,000 filmgoers who have petitioned us in recent weeks, demanding we bring this film to fruition, we have had a few initial conversations about the project with Mr. Jackson's representatives."

Best regards,
Theo Dumont
Manager of Public Relations
Metro-Goldwyn-Mayer Studios Inc.

Hopefully PJ can squeeze this into his schedule somehow.... he's keen on making two movies so he can flesh out parts of the story and make it a more mature piece... instead of following the book's child friendly tone. I'll definately keep you all updated!!

MGM to Unveil The Hobbit!

Source: Variety (via comingsoon.net): In a Variety article talking about MGM's move back into the tentpole business, the trade mentions a few highly-anticipated projects that are in the works:

Over the next few years, MGM is planning to release half a dozen films, some in the $150 million to $200 million-plus range. Studio is ready to unveil such high-profile projects as "Terminator 4"; one or two installments of "The Hobbit," which Sloan hopes will be directed by Peter Jackson ; and a sequel to "The Thomas Crown Affair" with Pierce Brosnan.
It has already announced a "Pink Panther" sequel and the next 007 pic "Bond 22," due out in November 2008. "Rocky Balboa" unspools in February.

There was alot of speculation about the last rumour - that the Hobbit could be filming next year - this confirms the speculation... hopefully PJ is up to the task!!

UPDATE: From Ain't it Cool News

As luck would have it, I interviewed Peter Jackson this afternoon. We talked about everything he's involved in and in the next week you'll see the interview go up in pieces, including one about THE HOBBIT.
But he did say that he woke up this morning to see that MGM says he's making THE HOBBIT with them, which was strange. He said that as unbelievable as it may be, he's never once talked to any studio, be it New Line or MGM, about doing THE HOBBIT. So, as of today Jackson has not talked to anybody about doing the movie, but he did say he'd like to do it, even though his schedule gets more crowded every passing week. So, if MGM wants to do this thing it might be a good idea to see if Jackson is up for it, no?

The Hobbit?!?!?!

The BIG news has finally hit. A Ringer Spy who was recently in the New York offices of New Line Cinema has reported that they clearly saw 'The Hobbit' on the film schedule for 2007. Here's what the spy had to say:

Please leave my email anonymous as I have some very exciting news to report. I was in New Line's NY offices to discuss upcoming projects when I clearly saw something very intriguing on a year planner. 'The Hobbit' was clearly marked on what looked like July 2007. I couldn't exactly take a moment to investigate the calendar with my audience in the room, but it definitely said 'The Hobbit'. Lets hope this is a PJ project!

Let's hope this turns out to be true!!!!