Peter Jackson's Hobbit films endangered by financing

Are we ever going to get to see Peter Jackson's Hobbit films? First there were rights issues, then there was bad blood between Jackson and Lord of the Rings producer New Line Cinema, and most recently there were lawsuit issues. All of those problems were resolved, though, and Jackson was moving forward with the two films as executive producer after settling on Guillermo del Toro as the director.

Now Deadline Hollywood is reporting that money problems over at MGM Studios have put the films at risk again. MGM is co-financing the movies with New Line, but the problem is, MGM is running out of funds.

"MGM said it needed $20M in short-term cash flow to cover overhead, and an additional $150 million to get through the end of year and continue funding its projects, and to start Peter Jackson's Hobbit."

We're not experts at studio financing, but it seems like investing in The Hobbit is a no-brainer, so hopefully MGM can find some more money soon. If not, we suggest adding a PayPal button to the MGM Web site to take donations.

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