Johnny Depp is teaming up with director Tim Burton again for a new movie, a re-imagining of the classic children's tale, 'Alice in Wonderland'

A source said: "Tim has had designs on 'Alice in Wonderland' since before he was famous.

"He has a knack for turning what seems like stories for just kids into gripping, spooky fables loved just as much by adults.

"He's held out on doing 'Alice' until he got a big enough budget. Now this film is financed by Disney so money won't be a problem."

The movie - which is scheduled for release in 2010 - will be the seventh time Johnny and Tim have worked together.

They have previously collaborated on 'Edward Scissorhands', 'Ed Wood', 'Sleepy Hollow', 'Charlie and the Chocolate Factory', 'Corpse Bride' and 'Sweeney Todd: The Demon Barber of Fleet Street'.

Disney produced an animated version of 'Alice in Wonderland' in 1951.

Meanwhile, Johnny is said to be teaming up with director Terry Gilliam to make 'The Man Who Killed Don Quixote'. Work on the project was halted after just five days in 2001, with the setbacks chronicled in a documentary, 'Lost In La Mancha'.

Actor Jean Rochefort suffered a double hernia on the first day of filming, while the second day saw most of the set in Madrid washed away.

Johnny allegedly refused to wait for his co-star to recover before filming could begin again and pulled out of the role, causing financiers to pull their backing and the project being aborted.

A source revealed: "They are having another crack at it after putting a deal together. Johnny is a bigger star now than he was then, thanks to the 'Pirates of the Caribbean' franchise, and there is every confidence they can pull it off."

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