NEW YORK (Reuters) - American International Group Inc
The two sides are still in negotiations and a deal has not been finalized, but an announcement could come next week, the source said.
Neither the identity of the potential buyer nor the size of the transaction was known.
The unit is a "medium-sized player" in Canada, said Byren Innes, a senior vice president at NewLink Group Inc, a financial services consulting company.
AIG, once the world's biggest insurer by market value, averted bankruptcy in September with an $85 billion federal bailout. The rescue swelled to $152 billion when it became clear it needed yet more U.S. taxpayer money to survive.
AIG has said it plans to sell everything except its U.S. property and casualty business, foreign general insurance, and an ownership interest in some foreign life operations.
The insurer agreed to sell HSB Group to German reinsurer Munich Re
(Reporting by Paritosh Bansal, editing by Leslie Gevirtz)
(For more M&A news and our DealZone blog, go to http://www.reuters.com/deals)
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