Amid similar rumours circulating the net, Microsoft UK has confirmed to CVG that the Xbox 360 edition of Banjo-Kazooie is "still on target" for 2008, and will be out later this year.
"As announced at E3 last year, the next installment in the popular Banjo franchise is still on target for 2008," a Microsoft spokesperson told CVG.
"We share the excitement of Banjo fans worldwide as anticipation 'builds' for the game's release later this year."
The confirmation comes after Microsoft Game Studios boss Shane Kim said at DICE he's "super-excited" about what Rare is doing with the Banjo sequel, and that he thinks the platformer "is going to be a big hit for us this holiday".
To date Microsoft's revealed very, very little about Banjo Kazooie's debut on Xbox, but presumably we're going to be hearing (and seeing) lots more of the bear and bird very soon, if it's out this year.
Catch up with all our previous coverage right here.