June 30 (Bloomberg) -- American International Group Inc., the insurer bailed out by the U.S., has an “excellent chance” of repaying the government, outgoing Chief Executive Officer Edward Liddy said today at the company’s annual meeting.

AIG plans to reduce its debt under a Federal Reserve credit line by $25 billion by handing over stakes in two non-U.S. life insurance units, the insurer said last week. The New York-based company has tapped about $40 billion from the line.

Liddy’s remarks echo comments he made to Congress last month when he said the company can pay back the credit line and a $40 billion stock investment within five years by selling units or holding stock offerings for businesses. The insurer may need more time if markets worsen, he said then.