CHAPTER XVII: THE CLOUDS BURST

At dawn, an embassy led by Bard and the Elvenking approaches Thorin with the Arkenstone. Thorin, stunned and enraged, discovers Bilbo gave it to them. Gandalf reveals himself, prevents Thorin from harming Bilbo, and Bilbo claims he used his promised share as he wished. Thorin brands Bilbo a traitor, agrees to ransom the Arkenstone with a fourteenth share in silver and gold, and dismisses him.

Thorin secretly summons Dain to hasten and recover advantage. By morning Dain’s armored dwarves arrive, attempting to pass; Bard blocks them until payment is made. Tensions rise and skirmish seems imminent as Dain’s scouts withdraw and both sides prepare for battle. Thorin offers no payment, and arrows from the Gate drive off Bard’s messengers.

As the dwarves press forward and Bard prepares a flank attack, Gandalf halts both sides with news: goblins under Bolg and Wargs are descending from the North. Recognizing a common foe, Gandalf, Bard, the Elvenking, and Dain form a plan to draw the goblins into the valley between the Mountain’s spurs and hold the high ground, though they risk being outflanked from above.

The goblin vanguard of wolf-riders surges into Dale, followed by massed goblins. The elves’ arrows and spear-charge cut deep; then Dain’s dwarves and Lake-men crash in, nearly routing the enemy. But goblins scale the Mountain, attacking from above, and victory slips away as Wargs and Bolg’s bodyguard renew the assault, hemming defenders on all fronts.

Thorin suddenly breaks out from the Gate with his companions in shining armor, rallying Men, Elves, and Dwarves and driving into Bolg’s guard, but his force is too small and becomes encircled amid mounting losses. Watching from Ravenhill with the Elves and Gandalf, Bilbo despairs—until he sights the Eagles approaching. As the cry spreads, a stone strikes Bilbo’s helm; he falls unconscious while the Eagles sweep in.