04/05/2008 AT 10:00 AM EDT
With a new album in the works, Whitney Houston is standing strong against allegations from ex-husband Bobby Brown, says Houston's cousin, soul singer Dionne Warwick.
"Whitney Houston is back!" Warwick told PEOPLE before taking the stage to perform some of her own songs at Muhammad Ali's Celebrity Fight Night XIV event in Phoenix on Friday night
"I'm thrilled that she's in the studio and working on her new album," Warwick, 67, said of her cousin. "No doubt she's overcoming everything that has been put in front of her even this week."
Last week, Brown, 39, dished on their marriage
– making allegations of her drug use – as he promoted his autobiography due out next month.
But rumors are nothing new to Houston, 44, who was working on her new album when she heard the news, according to music mogul Clive Davis.
"She was just in the studio this week working on a song called 'Nothing But Love' when she heard of all this mess in the papers," Davis says.
Davis adds: "I'm sure that this week has been traumatic but she's committed and looking forward to her new life."
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