Penny's dropped, say friends

Hollywood's rumour-mill was in full swing last night over reports that Tom Cruise has kissed goodbye to his sultry señorita.

The Mission: Impossible star is said to have called off plans to wed Spanish actress Penelope Cruz and told her to leave his Los Angeles home.

The romance is apparently on the rocks after a series of rows over his continuing friendship with ex-wife Nicole Kidman.

He upset Cruz when he refused to take her to last month's Oscars, which Kidman was attending as a nominee for Best Supporting Actress.

Cruz's friends say he made matters worse when he was interviewed at the awards but refused to answer questions about the impending nuptials.

One told a US newspaper that Cruise did not want to break her heart but knew the relationship was over.

She added: "He's got so many other priorities in his life right now. He's told her it's probably best for both of them if she moves out."

Cruz, 27, is reported to be looking at three-bedroom flats in New York City, where she plans to live alone.

The couple's first big setback came on Christmas Day in Sydney, when Cruise told Cruz he would be spending half the day with Nicole and their children. The friend added: "A livid Penelope told him she would leave if he went ahead. When he stood his ground, she took the first flight back to Los Angeles."

The pair met on the set of Vanilla Sky in February last year and were spotted in restaurants together.