The film stars Mike Myers, Eddie Murphy, and Cameron Diaz, who reprise their respective voice roles of Shrek, Donkey, and Princess Fiona.

They are joined by new characters voiced by Antonio Banderas, Julie Andrews, John Cleese, Rupert Everett, and Jennifer Saunders.

Development began in 2001, and following disagreements with producers, the first film's screenwriters Ted Elliott and Terry Rossio were replaced with Adamson.

The story was inspired by Guess Who's Coming to Dinner (1967), and new animation tools were utilized to improve the visual appearance of each character, particularly Puss in Boots.

The lead actors also received a significant bump in salary to $10 million, which at the time was among the highest contracts in their respective careers.

Like its predecessor, Shrek 2 also parodies other films based on fairy tales and features references to American popular culture.

Shrek 2 premiered at the 2004 Cannes Film Festival on May 15, 2004, where it competed for the Palme d'Or, and was released in theaters on May 19, by DreamWorks Pictures.

[15] The film received two Academy Award nominations for Best Animated Feature and Best Original Song, and its associated soundtrack charted in the Top 10 on the US Billboard 200.

Shrek worries that he is losing Fiona, particularly after finding her childhood diary and reading that she was once infatuated with Prince Charming.

While the ball begins, the fairy tale creatures whom Shrek and Donkey had met during their previous adventure arrive at the dungeon and rescue the trio.

Harold jumps in front of it, reverting into the Frog Prince; the rest of the spell reflects off his breastplate and hits the Fairy Godmother, causing her to be disintegrated into bubbles.

With the Fairy Godmother gone, Harold apologizes, admitting to using the "Happily Ever After" potion years earlier to gain Lillian's love.

As the clock strikes midnight, Fiona declines Shrek's offer to remain human, and they revert into ogres, while Donkey also returns to normal.

In 2001, soon after the original Shrek proved to be a hit, Mike Myers, Eddie Murphy, and Cameron Diaz negotiated an upfront payment of $10 million each for voicing a sequel to the film.

[18] According to Jeffrey Katzenberg, the executive producer of Shrek 2 and a co-founder of DreamWorks Pictures, who led the negotiations, the payments were probably the highest in the actors' entire careers.

Ted Elliott and Terry Rossio, the screenwriters and co-producers of the first film, insisted that the sequel would be a traditional fairytale, but after disagreements with the producers, they left the project and were replaced by Adamson.

Designers reportedly took inspiration from 19th century French illustrator and engraver Gustav Doré to improve the film's richness of detail and setting.

[43] The DVD release features two full-length commentary tracks, one by co-directors Conrad Vernon and Kelly Asbury, and a second by producer Aron Warner and editor Michael Andrews.

If any character besides Shrek, Fiona, Donkey, or Puss is selected, an alternate ending plays where Cowell would refuse to accept the winner and proclaim himself the victor, leaping onto the judging table and performing his "own" rendition of "My Way".

[36] DreamWorks Animation announced on November 8, 2004, three days after the DVD and VHS release, that with 750,000 votes cast, the "winner" of the competition was Doris.

The film was released in the United Kingdom on July 2, 2004, and topped the country's box office for the next two weekends, before being dethroned by Spider-Man 2.

Its critical consensus reads, "It may not be as fresh as the original, but topical humor and colorful secondary characters make Shrek 2 a winner in its own right.

"[57] Metacritic (which uses a weighted average) assigned Shrek 2 a score of 75 out of 100 based on 40 critics, indicating "generally favorable reviews".

[59] Roger Ebert gave the film three out of four stars, saying it is "bright, lively, and entertaining",[60] and Robert Denerstein of Denver Rocky Mountain News called it "sharply funny".

[65] Peter Rainer of New York magazine, however, stated the film "manages to undo much of what made its predecessor such a computer-generated joy ride.

On November 6, 2018, it was reported by Variety that Chris Meledandri had been tasked to reboot both Shrek and Puss in Boots, with the original cast potentially returning.