Kevin Costner and Christine Baumgartner are said to be "on speaking terms" following their divorce.

The 68-year-old actor tied the knot with designer Christine, 49, in 2004 and went on to have Cayden Wyatt, 15, Hayes Logan, 14, and Grace Avery, 13, with her but the pair called time on their marriage in May this year, although an insider has now claimed that they are speaking to each other for the sake of their children.

A source told UsWeekly: "They are now on speaking terms. Things are better. They didn’t want it to get ugly for the kids’ sake."

However, the insider went on to insist that there is no chance of a reconciliation between the 'Yellowstone' actor - who also has Annie, 39, Lily, 37, and Joe, 35 with ex-wife Cindy Silva, as well as son Liam, 26, with former partner Bridget Rooney - and Christine but that they just "didn't want to fight" anymore.

The source added: "Kevin is thrilled that the negotiations are over. At the end of the day, Christine is the mother to his children and he didn’t want to fight anymore."

The comments come just days after it was revealed that the fomrer couple had now settled their legal battle with reports suggesting their pre-nuptial agreement was enforced and Baumgartner was unable to challenge the terms without facing the possibility of paying a penalty in excess of $1 million and covering the actor's attorney's fees.

A source told DailyMail.com: "Christine didn't really have a choice but to settle because Kevin had all the power. Had she continued fighting, she would risk losing everything."

The insider added the former handbag designer is glad the ordeal is over, saying: "Christine said it is what it is. That she won't miss going to court and having sleepless nights ... She was the one who wanted to settle things outside of court in the first place. She never wanted any of this circus. It's been a living nightmare and now she just wants to move on and start fresh and begin making her new house a home."