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Katie Holmes has reached a settlement with Star Magazine after slapping them with a $50 million libel lawsuit last month for implying that she was a drug addict, Entertainment Weekly reports.

Katie Holmes sues Star Magazine for drug addiction allegations

In the lawsuit against American Media Inc., Holmes said the cover that featured the headline "Katie DRUG SHOCKER!" was not true and not supported by the story itself. The story said Holmes was "trapped in a cycle of addictive treatments" and also implied that she was thinking of splitting from husband Tom Cruise, which the lawsuit also says is not true.

Star Magazine originally stood by its story, which doesn't refer to illicit drugs, but rather an alleged use of e-meters, a device used by Church of Scientology followers that practitioners say detects mental trauma.

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On Wednesday, Holmes announced she had reached a settlement, though the terms remain confidential. American Media released a public apology to Holmes that will also run in Star Magazine.

"In a recent issue of Star, we published headlines about Katie Holmes that could be read to suggest that she was addicted to drugs. Star did not intend to suggest that Ms. Holmes was a drug addict or was undergoing treatment for a drug addiction. Star apologizes to Ms. Holmes for any misperception and will be making a substantial donation to charity on Ms. Holmes' behalf for any harm that we may have caused."

Holmes, whose Dizzy Feet Foundation will receive the donation, said in response, "I'm pleased that this lawsuit could be resolved amicably and accept American Media's apology. With this dispute out of the way, I look forward to once again focusing my attention on my family and career."