CUT TO:

EXT. BAG END -- NIGHT

The party is still in an excited uproar... some 50 yards away
as we pan across a moonlit lane to the front door of Bag End.
Door opens, pulled by an invisible hand.

INT. BAG END -- NIGHT

The door quietly closes...Bilbo materializes as he pulls a
plain gold ring off his finger. Bilbo laughs as he tosses the
ring in the air, then places it in his pocket.

                                                      ANGLE ON:

Bilbo emerges from the passage, carrying a walking stick. He
finds Gandalf looming over him.

                    GANDALF
          I suppose you think that was terribly
          clever?

                    BILBO
          Come on, Gandalf! Did you see their
          faces?




                                                  (CONTINUED)

                                                             19.
CONTINUED:


                    GANDALF
          There are many magic rings in the world,
          Bilbo Baggins, and none of them should be
          used lightly.

                    BILBO
          It was just a bit of fun. Oh, you're
          probably right as usual.

                    GANDALF
          You will keep an eye on Frodo, won't you?

                    BILBO
          I'm leaving everything to him.

                    GANDALF
          What about this ring of yours? Is that
          staying too?

Close on: Bilbo...he gives Gandalf a look and nods toward the
mantelpiece.

                    BILBO
          Yes, yes, it's in an envelope...over
          there on the mantelpiece. Gandalf frowns
          at the empty mantelpiece...Bilbo suddenly
          feels his waistcoat with a look of guilty
          surprise.

                    BILBO (CONT'D)
          No, wait. It's here in my pocket. Isn't
          that...isn't' that odd now? Yet, after
          all, why not? Why shouldn't I keep it?

                    GANDALF
          I think you should leave the Ring behind,
          Bilbo. Is that so hard?

                    BILBO
          Well, no...and yes. Now it comes to it,
          I don't feel like parting with it. It's
          mine. I found it. It came to me!

ANGLE ON: GANDALF LOOKS DOWN AT BILBO WITH RISING CONCERN.

                    GANDALF
          There's no need to get angry.

                    BILBO
          Well, if I'm angry, it's your fault! It's
          mine. My own, my precious.



                                                     (CONTINUED)

                                                            20.
CONTINUED:


                    GANDALF
          Precious? It's been called that before,
          but not by you.

                    BILBO
          So? What business is it of yours what I
          do with my own things? Bilbo's voice,
          shape and manner have suddenly changed.

                    GANDALF
          I think you've had that ring quite long
          enough.

                    BILBO
          You want it for yourself!

Gandalf rises to his full height, his eyes flash, his shadow
suddenly seems to fill the room

                    GANDALF
          Bilbo Baggins do not take me for some
          conjurer of cheap tricks! Bilbo cowers
          from Gandalf, disarmed by his power...a
          frightened Hobbit. Gandalf's expression
          softens.

                    GANDALF (CONT'D)
          I am not trying to rob you. I am trying
          to help you. Sobbing, Bilbo runs to
          Gandalf and hugs him.

                    GANDALF (CONT'D)
          All you long years we've been
          friends...trust me as you once did. Let
          it go!

                    BILBO
          You're right, Gandalf...the ring must go
          to Frodo.

Bilbo lifts his knapsack and heads for the front door.

                    BILBO (CONT'D)
          It's late, the road is long... yes, it is
          time.

                    GANDALF
          Bilbo?

                    BILBO
          Hmmm?



                                                    (CONTINUED)

                                                            21.
CONTINUED: (2)


                    GANDALF
          The ring is still in your pocket.

Bilbo hesitates...reaches into his pocket.

                     BILBO
          Oh, yes.

CLOSE ON: Bilbo pulls out the ring...he stares at it in his
palm. With all his will power, Bilbo allows the ring to
slowly slide off his palm and drop to the floor. CLOSE ON:
The tiny ring lands with a heavy thud on the wooden floor.

EXT. BAG END -- NIGHT

                                                      ANGLE ON:

Bilbo staggering out of Bag end...he braces himself in the
night air, Pale and Trembling, as if his loss of the ring has
weakened him. Gandalf steps up behind.

                    BILBO
          I've thought up and ending for my
          book..."And he lived happily ever after
          to the end of his days."

                    GANDALF
          I'm sure you will, my dear friend.

                    BILBO
          Goodbye, Gandalf.

                    GANDALF
          Goodbye Bilbo.

Bilbo walks away from Bag End, disappearing into the night,
softly singing: "The Road goes on and on."

                    GANDALF (CONT'D)
              (softly)
          Until our next meeting.