Hollywood's finest Tom Cruise has finally managed to reach a divorce settlement with Katie Holmes, it has been confirmed.

It was announced back in June that the pair were separating after five years of marriage and representatives for the couple have now revealed that an "agreement has been signed". The statement, which was sent to People magazine, explains:

"The case has been settled and the agreement has been signed. We are thrilled for Katie and her family."

Cruise and Holmes also issued a statement earlier today (July 9), which read: "We are committed to working together as parents to accomplish what is in our daughter Suri's best interests."

"We want to keep matters affecting our family private and express our respect for each other's commitment to our respective beliefs and support each other's roles as parents."