Update:

Theatrical Release Date: August 5, 2006

The third film was announced on August 6, 2005 at the opening of Naruto the Movie 2. This movie is currently scheduled for a theatrical release of August 5, 2006.

Plot:

Naruto, Kakashi, Sakura, and Lee (in their new summer outfits) are sent to protect a prince during his trip around the world and see that he returns safely to his home in the Moon Country. The Moon Country happens to be really poor and as such the Prince tends to buy nothing his heart desires, during his travels the Prince would come across a circus group that features a rare Sabre-toothed tiger that he just had to have but he was too poor. So he stole the entire group. Suddenly a mission to protect the prince that hardly listened to anything said, turns in to a mission to look after animals and a prince that doesn't listen to what they say, and in the end somehow get them all back safely to their home country. All the while there are three mysterious Ninja wielding some a sword made from chakra waiting for them. Why are they attacking them? What do they want with Team Kakashi!?!

If the movie were to take place during the anime timeline, it would have to take place during the filler arcs between part 1 and part 2, after the Sasuke Retrival Arc and sometime before the end of part 1 of the anime/manga.

The first 100,000 people to see the movie, as a promotional item at certain theaters, will recieve a high quality Naruto yo-yo.(Datteba yo-yo) It has a picture of Naruto on it that when spun, special LEds inside will light up, making it look like a rasengan with colors that change while the yo-yo spins.

*Sigh*