Universal Pictures is currently in negotiations with Sofia Coppola to direct their live-action adaptation of the classic Hans Christian Anderson fairy tale The Little Mermaid. The movie is currently being rewritten by Caroline Thompson (Edward Scissorhands).
The story was published in 1837, but I know most of you are familiar with the Disney animated version. It is about a young mermaid who is willing to give up her life in the sea and her identity as a mermaid to gain a human soul and the love of a human prince.
Coppola is a talented director who has brought us films such as Lost in Translation, Somewhere, The Bling Ring, and Marie Antoinette. The Little Mermaid would be her biggest studio movie to date, and I think she's a solid choice to develop this story into a film.