The Hobbit is coming!

Good news, LOTR and Tolkien fans!

LOTR director, Peter Jackson and New Line Cinema has finally settled their dispute over the profits of the fantasy trilogy. Jackson has agreed to direct two movies based on Tolkien's The Hobbit - the prequel to The Lord of the Rings trilogy.

Both films are to be shot simultaneously, like with the Lord of the Rings, and the principal photography is said to take place on 2009. This leaves 2010 and 2011 as release dates for The Hobbit and its sequel respectively.

Source