Capcom has more than just Hollywood plans for the Resident Evil series... another straight to DVD film is currently in production as well. A follow-up to the 2008 release of Resident Evil: Degeneration has been confirmed to be in production, titled
Resident Evil: Damnation.
Very few details have been given on the feature aside from the fact that the main character will, once again, be Leon S. Kennedy. The title has been announced for a Japanese release sometime in 2010, but a worldwide release is very likely. The original CGI release, Degeneration, received pretty positive reviews from the industry; personally, I thoroughly enjoyed the film and am really looking forward to more of the same with the sequel.
Source:
Eurogamer