The hobbits' isolation makes the Shire an unlikely and therefore perfect hiding place for the coveted totem. But even a humble hobbit will gradually succumb to its evil spell. [Bilbo] realizes that he is growing weaker, ever more tempted to harness the ring's power, and passes it on to his cousin Frodo (Elijah Wood) through the auspices of the wizard Gandalf the Grey (Ian McKellen).

Gandalf, an old friend of Bilbo's, is seldom in the Shire these days, but he continues to see to its people's welfare and the safety of the ring. Alas, the Dark Lord -- Middle-earth's ultimate villain - - is intent on reclaiming the ring for his own evil purposes, and his spies have traced it to Bilbo's cozy, grass-covered bungalow. Frodo must take the ring and leave the Shire immediately, warns Gandalf, for Ringwraiths in the service of the Dark Lord have already been seen in the vicinity.

They are joined by Strider (Viggo Mortensen), a ranger; Prince Legolas (Orlando Bloom), an elf; Gimli (John Rhys-Davies), a dwarf; and Boromir (Sean Bean), steward of Gondor. Along with Gandalf, they form the Fellowship of the Ring, sworn to protect Frodo to the death. The members of the Fellowship are swept up in an unrelenting, tautly directed rush of saber-rattling battle scenes, for they find themselves set upon not just by the Ringwraiths but also by the demonic forces of the perverted wizard Saruman (Christopher Lee). Once Gandalf's superior and the greatest of all the sorcerers, he's declared himself in league with the Dark Lord.