New Zealand may lose the filming of 'The Hobbit' movies, with financial backers Warner Brothers making arrangements to shift the production offshore, director Peter Jackson warned today.

Head of film studio New Line Bob Shaye insists 'The Lord of the Rings' Oscar winner Peter Jackson will never be allowed to direct 'The Hobbit' while he is at the company.

Oscar winner Peter Jackson has hit back at New Line boss Bob Shaye, blaming the studio's lack of co-operation as the reason he has filled a lawsuit against them.

DIRECTOR Peter Jackson has been told he will not be hired to direct a movie based on JRR Tolkien novel The Hobbit, despite the nearly $3 billion (€2.3bn) global box office success of his Lord of the Ring trilogy that picked up 17 Oscars.

Film-maker Peter Jackson's production company has sued New Line Cinema over profits from the first film in the Lord of the Rings trilogy.