American International Group Inc may scrap a plan to repay a $60 billion U.S. government loan by selling businesses, after failing to find enough promising bidders, Bloomberg said, citing people with knowledge of the matter.

AIG Chief Executive Edward Liddy, who took charge in September and unveiled the strategy the following month, has concluded it will not work, the people told the news agency on condition of anonymity.

AIG is proposing additional ways to reduce the company's debt to the U.S. government, including handing over stakes in some operations directly to the government, a person told the news agency.

AIG could not be immediately reached for comment by Reuters.

(Reporting by Ajay Kamalakaran in Bangalore, Editing by Murali Anantharaman)

Aig New york city