Schwarzenegger giving Shriver 'generous' settlement

Arnold Schwarzenegger is set to give Maria Shriver a "very generous divorce settlement".

The Terminator star - who admitted in May to fathering a boy named Joseph with his family's housekeeper Mildred Baena 13 years ago while he was still married to the 55-year-old writer - is reportedly willing to give Maria more than she is owed under Californian law.

An insider revealed to RadarOnline.com: "Arnold realises he is to blame for the collapse of his marriage. Maria was a loving wife and mother, and he doesn't think that any amount of money can minimize what he has put her through. He wants to do the right thing, and go above and beyond what is required of him under the law.

"This is going to be a very amicable divorce, and it won't be played out in the media. Neither one of them wants that. Arnold hasn't lost his mind, he is going to be giving away his fortune to her. He wants to show his children that he is taking responsibility for his actions."

Maria - who filed for divorce from Arnold on Friday - is entitled to a 50/50 split of all the couple's assets accumulated during their marriage because California is a Community Property state.

Settlement talks between the 63-year-old former governor of California - who is reportedly worth around $500-$750 million (NZ$600-$900 million) - and Maria have been ongoing for more than two months.

- BANG! Showbiz