"It should be known that the story is 100 percent false," Arnold Robinson, a publicist for the couple, said in a statement. "Mr. Cruise and Ms. Holmes are still engaged and are moving forward with their wedding plans, as well as planning for the arrival of their child."
The Feb. 27 issue of the magazine, which will be on news stands Friday, says in a cover story that the public pair "plan to keep up the charade of their romance until after their baby's birth this spring."
Holmes, 27, and Cruise, 43, have been engaged since June. They announced her pregnancy in October.
"Despite the malicious fallacies put forth by Life & Style magazine, the couple is looking forward to a long and happy life together as a family," Robinson said.
A representative for the magazine said, "We stand 100 percent behind our story."
The story says its information comes from two unnamed friends of Cruise.