Katie Holmes and Tom Cruise have reached a divorce settlement, including custody of their daughter Suri.
Holmes' attorney said, "The case has been settled and the agreement has been signed. We are thrilled for Katie and her family and are excited to watch as she embarks on the next chapter of her life."
News of the deal came minutes after the couple issued this joint statement Monday:
"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 for each of our respective beliefs and support each other's roles as parents."
Sources tell People magazine that Suri will live in New York with her mother, but Cruise will have generous visitation rights.
Mike Fleeman, Associate Los Angeles Bureau Chief of People magazine told INSIDE EDITION, "To the extent that there's any winners here, yeah, I think Katie emerged with what she had sought. She wanted a divorce, and it looks like she's going to be the primary custodian of Suri. And it looks like a lot of pain has been diverted."
The settlement was reached in record time just ten days after Katie Holmes filed for divorce and demanded sole custody of their daughter. There were hours of intense negotiations over the weekend. Holmes was seen leaving her lawyer's office in midtown Manhattan where the deal is being hammered out.
Los Angeles-based family lawyer Steve Mindel says the remarkable speed in which the settlement was reached is an indication that Tom Cruise was determined to keep his private life out of the courts.
"This settlement has to help both Katie and Tom. The rumor is, Katie is already starting to work on her new projects. Tom is constantly working on projects. A quick and efficient settlement is good for both parties," said Mindel.
Cruise hasn't seen his daughter for nearly a month. Published reports say he wants visitation with Suri within a week.
Fleeman told INSIDE EDITION, "We don't know if this is the biggest divorce settlement in Hollywood, but it certainly has to be the fastest."