The dwarves and Bilbo are now trapped in the tunnel and don't know when Smaug will be back. After about two days, Bilbo decides they can't stay in the tunnel any longer or they will die. He goes off in search of Smaug to see if he is still in the treasure room. He isn't there, so Bilbo tells the dwarves it is okay to come down. They look around at the treasure and all take some. Bilbo finds the Arkenstone, but doesn't give it to Thorin. He keeps it for himself. Then they leave just in case Smaug comes back soon. Balin leads them to an old look-out post. This is smart because they won't be seen, but they will be able to see Smaug when he comes back.
While they have been exploring Smaug's territory, he died. He was killed by a man from Esgaroth, that man's name was Bard. The Master of the town ran away, but Bard and some other men stayed to defeat the deadly dragon and save their town. He actually got help from Bilbo, in a round about way. Bard is a descendant of Girion, the Lord of Dale. The people who lived during that time could understand the squawking of a certain type of bird. This bird had heard Bilbo say that there was a weak spot in Smaug's armor. That was how he was defeated. Bard hit an arrow right in his left breast plate and Smaug died. The people wanted Bard to be Master, but he didn't want to upset the life of Esgaroth. He chose to take his followers to the Lonely Mountain where they could take the free treasure and build back Dale.
Thorin was not too happy when he heard of this from a bird ( he can also understand some birds). He also heard that the Wood elves were also coming to claim the treasure. This upset him and he became a little crazy. He ordered the dwarves around and prepared them to defend the treasure. When the elves and men got there, Bard came to see what was going on. He asked Thorin if he could have some of the treasure for defeating Smaug and the elves wanted some pay for housing the dwarves. Thorin refused to even think about giving some of the treasure up while they were camped out in front of the Lonely Mountain. He thought they should back off and send the Wood elves home, then he might give them some payment.
Thorin's actions in these chapters disappointed me. I had no idea dwarves were so greedy and rude. He had all that treasure locked up in the castle, but wouldn't share one piece with the man who defeated Smaug. If Smaug hadn't died none of the treasure would be available! I also think the treasure wasn't Thorin's to give which made me even more angry with him. I think his rudeness and bitterness towards the men and elves will come back to bite him in the end.
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