"Toy Story 3" Not to Be

A report in the Los Angeles Times states that Disney plans to shut down Circle 7, the animation unit created by the Disney studios to make sequels to successful Pixar movies, and production on Toy Story 3 will be halted (free registration required). While no official statement has been made by Disney or Pixar executives regarding this subject directly, Disney Studios chairman Dick Cook stated, “All of the sequels to Pixar movies will be made by Pixar. We are clearly going to look at all of the talent that has been assembled and figure out where we go from here,” on Wednesday.

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