Madonna, Ritchie reach divorce agreement

Madonna and Guy Ritchie have reportedly come to an agreement on the terms of their divorce.

According to the Evening Standard, Ritchie has refused to take any of Madonna's estimated £300 million fortune under the settlement, which comes a month after they confirmed their split.

The main issue of debate was the living arrangements for the estranged couple's children. While Madonna wished to take them with her to New York, Ritchie wanted his sons Rocco and David to stay in London.

A source said a compromise has been reached which will see the youngsters dividing their time between the two cities. Lourdes, Madonna's daughter from a previous relationship, will continue to live with the singer.

The insider said the agreement would be announced by the end of the month, adding: "The priority for him [Ritchie] has always been the children. Ritchie has not wanted her money."

"Ritchie could have taken her to the cleaners. He is a very honourable man to have walked away," a second source is quoted as saying.