In Reported Speech, which is the correct answer?

Question

"He said, “The show was already underway when the chief guest arrived."

In Reported Speech, which is the correct answer?

He said that the show was already underway when the chief guest arrived.

He said that the show had already been underway when the chief guest arrived.

Thanks.

GPY · Accepted Answer

He said that the show was already underway when the chief guest arrived.

CalifJim · Answer

(under way)

CJ

GPY · Answer

I don't see any problem with "underway".

http://www.oxforddictionaries.com/us/definition/american_english/underway

CalifJim · Answer

GPYI don't see any problem with "underway".

Hmmm. It looks wrong to me.
_____________

This is the only definition of "underway" in the Merriam-Webster dictionary.

Definition of UNDERWAY (adjective)
: occurring, performed, or used while traveling or in motion <underway replenishment of fuel>
_____________

In contrast, here is their definition of "under way" (adverb).

1 : in motion : not at anchor or aground
2 : into motion from a standstill
3 : in progress : afoot <preparations were under way> <the season got under way with a bang>

Examples of UNDER WAY

The train has had to stop briefly, but it should be under way again soon.
Preparations for their arrival are already under way.

CJ

GPY · Answer

On the other hand, several other dictionaries do give it in what appears to be the same sense as in the example sentence. I must say, it looked OK to me when I read it, but obviously opinions vary.

In Reported Speech, which is the correct answer?

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