China Life Insurance Group Co. (LFC) and American International Group Inc. (AIG) are in talks over the sale of AIG's Asian unit, but there are no results yet, China Insurance Regulatory Commission Vice Chairman Li Kemu said Thursday.

Asked on the sidelines of a press conference about talks between the two parties, Li said: "They currently are still in talks, and we are paying close attention to it." He didn't elaborate further on the discussions.

Cash-strapped AIG is in the midst of taking bids for its Asian unit, American International Assurance Co., or AIA.

Bids are due Friday, but a number of prospective bidders have pulled out, and people close to the situation say there may be no offers at all.

Asked earlier Thursday about the planned sale of AIA, Li said it is a commercial matter between the companies involved and that Beijing's main concern is the stability of AIG's Chinese operations.

He added AIG's China business is operating "quite normally" at present.

AIG Chief Executive Edward Liddy visited Beijing in January to sound out Chinese authorities on potential bids for AIA, but senior Chinese leaders told potential bidders they wouldn't approve offers, people familiar with the situation have said.

Li said Thursday AIG has sent senior managers around the world to discuss its operations, including to China. But he declined to comment on the regulator's views on any interest by Chinese companies in AIA.

A China Life spokesman declined to comment on Li's remarks.

The parties interested in vying for AIA initially included China Life Insurance and Bank of China Ltd. (3988.HK), as well as AXA S.A. (AXA), HSBC Holdings PLC (HBC), Prudential PLC (PUK), Zurich Financial Services AG's (ZFSVY) Zurich Re and Swiss Reinsurance Co. (SWCEY).

Temasek Holdings Pte. Ltd., the Singapore state-owned investment company, was also considering investing alongside HSBC or Prudential.

-By Aaron Back, Dow Jones Newswires; (8610) 6588-5848; aaron.back@dowjones.com