On the heels of news that the long-stalled Hobbit films could finally get the green light to begin shooting in January and director Peter Jackson might resolve his disputes with New Zealand labor unions, the movie's up in smoke again. "Yesterday, flames engulfed [Peter Jackson's] New Zealand workshop set which would have been used for [The Hobbit] movies," Nikki Finke reports. "It took 50 firefighters three hours to quell the blaze in Wellington. All that's left now is a burned-out warehouse." Er, arson? A sign? Neither option is good. [Deadline]