Lake town
Smaug only appeared in the Hobbit, where he was killed and he never appeared again (because he was dead). So smaug was not in the Lord of the Rings trilogy, but he was in the Hobbit.
Smaug was killed when Bard shot an arrow into his heart, aiming for a specific spot on his chest where there was a gap in his nigh-inpenetrable scales.
Dale was destroyed by Smaug. It was one reason Bard thought he and his men had a right to some of the dragon's treasure. It was rebuilt after Smaug was killed.
Smaug doesn't recognize the scent of Hobbit, although he knows what dwarves and men smell like.
The main conflict in The Hobbit is trying to regain the Lonely Mountain from Smaug the Dragon.
The Desolation of Smaug
No, he makes it back home. After all, he does have a part to play in The Lord of the Rings.
Yes. The second installment will be called The Hobbit: The Desolation of Smaug.
The Hobbit; The Desolation of Smaug will be released December 2013
The killer of Smaug is Bard the Bowman. He's alerted by a thrush who overheard of Smaug's weakness (a single bare spot in his bejeweled chest).Bard, a man in the town of Esgaroth, a town by the lake, killed the dragon. He was told by the thrush where Smaug's weak spot was, and thus Bard was able to shoot the dragon through the heart.
In The Hobbit, Bard, who was the King of Dale, can be described as gallant and brave.
smaug dies