Peter Jackson dropped from the Hobbit...

I've never heard of orcs as Maiar -- I always understood them to be made in mockery of elves, or perhaps twisted elves, a detail that the movies actually got right. The Balrog, on the other hand, was definitely a Maia, as was Sauron.

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Balrog did not have wings. He was a boxer who couldn't kick even if you tried pressing one of the kick buttons in the Championship Edition.

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"I do not want to make a movie with somebody who is suing me," Shaye—New Line's chief executive officer—said in an interview on Jan. 5....

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As far as Shaye is concerned, Jackson is no longer welcome. "There's a kind of arrogance," Shaye said. "Not that I don't think Peter is a good filmmaker and that he hasn't contributed significantly to filmography and made three very good movies. And I don't even expect him to say 'thank you' for having me make it happen and having New Line make it happen. But to think that I, as a functionary in [a] company that has been around for a long time, but is now owned by a very big conglomerate, would care one bit about trying to cheat the guy, ... he's either had very poor counsel or is completely misinformed and myopic to think that I care whether I give him [anything]."

Shaye, who was also an executive producer on the Rings films, added: "He got a quarter of a billion dollars paid to him so far, justifiably, according to contract, completely right, and this guy, who already has received a quarter of a billion dollars, turns around without wanting to have a discussion with us and sues us and refuses to discuss it unless we just give in to his plan. I don't want to work with that guy anymore. Why would I? So the answer is he will never make any movie with New Line Cinema again while I'm still working for the company."

Shaye said that many of the Rings trilogy actors "suddenly, because, I'm guessing, of Peter's complaint," have declined to participate in celebrating New Line's 40th anniversary. "I'm incredibly offended," he said. "I don't care about Peter Jackson anymore. He wants to have another $100 million or $50 million, whatever he's suing us for. He doesn't want to sit down and talk about it. He thinks that we owe him something after we've paid him over a quarter of a billion dollars. ... Cheers, Peter."

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"Our issue with New Line Cinema has only ever been about their refusal to account for financial anomalies that surfaced from a partial audit of The Fellowship of the Ring. Contrary to recent comments made by Bob Shaye, we attempted to discuss the issues raised by the Fellowship audit with New Line for over a year but the studio was and continues to be completely uncooperative. This has compelled us to file a lawsuit to pursue our contractual rights under the law. Nobody likes taking legal action, but the studio left us with no alternative.

For over two years, New Line has denied us the ability to audit The Two Towers and The Return of the King, despite repeated requests. Film auditing is a common and straightforward practice within the industry and we don't understand why New Line Cinema has taken this position.

In light of these circumstances, I didn't think it was appropriate for me to be involved in New Line Cinema's 40th Anniversary video. I have never discussed this video with any of the cast of The Lord of the Rings. The issues that Bob Shaye has with the cast pre-date this law suit by many years.

Fundamentally, our legal action is about holding New Line to it's contractual obligations and promises. It is regrettable that Bob has chosen to make it personal. I have always had the highest respect and affection for Bob and other senior management at New Line and continue to do so."

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