Two films based on The Hobbit have been officially greenlit, according to a joint statement released by New Line COO Toby Emmerich; Warner Bros. COO Alan Horn, and MGM co-CEO Steve Cooper on Friday.  Principal photography will begin in February.  Peter Jackson was officially announced as the director. 

What wasn’t said was where the film would be shot.  A major dispute with the actors guild over the contact under which local talent will be paid may lead the producers to move the film from New Zealand to one of five other countries under consideration.   

The statement also did not include an explanation for how MGM is coming up with its share of the financing, which has been an ongoing problem for the near-bankrupt company (see “Hobbit Update”), but Hollywood Reporter is reporting that the money is coming from either a pre-sale of distribution rights by MGM or Warners covering MGM’s share in exchange for distribution rights from MGM.