According to the radio news report, it happened when Princess Anne arrived at Sandringham. The Queen`s corgis ran out to greet her, when Dotty, Anne's English Bull Terrier, attacked the oldest one, Pharos. Although one of the footmen, joined by the Queen herself, tried to separate them, the injuries to Pharos were too severe and he/she had to be put down.
This is the link to the BBC news internet report.
http://news.bbc.co.uk/1/hi/uk/3345585.stm
You may remember that last year Princess Anne was fined after the same dog attacked two children.
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