Paris Hilton has put her feud with her The Simple Life co-star Nicole Richi firmly behind her, insisting they are “friends forever now”.

The childhood pals mysteriously fell out in January 2005 after a life-long friendship, but they made up after holding a reconciliation dinner in Los Angeles in October, and Hilton insists their reunion is permanent.

She gushes, “We’ve been friends for 23 years of our lives and when you’ve known someone that long she’s like a sister. I’m really happy to have her back in my life. I love her to death! We’re definitely friends forever now.” “She’s amazing. Nicole has a great personality, she’s beautiful and sweet, and she’s fun to hang out with. She’s hysterical – she can make me laugh so hard!”

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I know that picture is old…but how great is that picture.  That’s why I love it when Nicole says she “can’t” gain weight.  BS…she can totally gain weight.  Look at her!

It’s only been a month since Nicole Richie announced she was seeking treatment for her inability to gain weight, but friends are noticing a difference, PEOPLE reports in its upcoming issue.

“She has (put on) at least 5 lbs.,” says a source close to the actress. “She wants to prove she’s trying to change.”

The newly brunette Richie has even “distanced herself from a lot of (old) friends,” adds the source. Among those old friends is Rachel Zoe, 35, Richie’s stylist for the past three years, with whom Richie split last week

Richie, who before seeking treatment had dropped to around 90 lbs., hit the American Music Awards last week in a short vintage Christian Dior dress with the help of new style consultant Cristina Ehrlich looking “much healthier,” said an onlooker.

Now she’s ready to shoot the fifth installment of her reality show The Simple Life, which was postponed due to her treatment. Says her on-again pal and Simple Life costar Paris Hilton: “She looks better than she’s ever looked. I love it.”

So, it would seem, does Richie. “She’s doing great,” says a friend who spoke to her over Thanksgiving. “She’s taking care of herself and is in a good place.”

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Nicole Richie is cleaning out her closet. Us has learned that, on November 14, the Simple Life star axed her personal stylist (and close confidante) of more than two years, Rachel Zoe. The reason? The size-0 Richie, 25, “wanted to surround herself with positive people and influences,” an insider says.

Apparently that didn’t include the controversial fashionista, 35, who has long been accused of promoting unhealthy body images (her roster of stick-thin clients includes Mischa Barton and Lindsay Lohan, both 20).

“Nicole didn’t trust Rachel anymore,” a Richie pal says of the firing. “Zoe didn’t take the news well.”

Zoe’s rep denies this, adding that the split was amicable.

In her place, Richie has hired Cristina Ehrlich – who has dressed Jessica Biel and Penelope Cruz – to pick an outfit for the November 21 American Music Awards, where the actress has been asked to introduce a performance by dad Lionel Richie.

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I almost didn’t even post the pictures…but eh, I couldn’t refuse.  So who know’s if they’re back on, or not.  But either way – they went together to In & Out Burger… and shared one milkshake with 2 straws.  Okay so I made that last part up.

Mischa Barton & Nicole Richie play on the beach…

Pics of Nicole making out with her dog after the jump! (more…)