As I understood it the contract was renegotiated/renewed already.
Last June I was in Halifax (Nova Scotia, Canada) for the 5th Bday of the GW bunker there (they really have an excellent community and the staff are fantastic!!). While there I got to chat with the regional sales rep as to the future of the LOTR game. According to him the game is not going to dissappear and the decision as to what form it will take will be made when the game is up for revision in another two years or so.
There are two main possibilities as of the present (and this is still conjecture at this point): Either the LOTRSBG is re-released in it's third edition and we proceed status quo, OR,SBG is relegated to the ranks of the specialist games and the main focus shifts to 'War of The Ring.' I suppose it depends on how many models they think they can sell/make us buy...
It's no skin off my back either way as I'm a big fan of the game and have a fairly extensive collection already. I do however feel some pity towards anyone who is new to the hobby and wants to get in to any of their games. So much required for a decent game...