NEW YORK (CNN/Money) - Time Warner Inc. is looking at different options for America Online, including the possible sale, spin-off or reorganization of the Internet service provider, according to a published report.

The New York Post said the company's investment bankers at Goldman Sachs are putting together a proposal for the online unit to be considered at its April meeting. It said AOL chief Jonathan Miller is to present an update on AOL's business at that meeting.

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A sale or spin off would essentially undo the 2001 purchase by America Online of media conglomerate Time Warner, whose units include cable television operations, movie studios, television and cable networks as well as magazines. Despite a 39 percent rise in the stock price over the last 12 months, the combined company is still worth two-thirds less than on the day the merger was completed. The name AOL was stripped out of the corporate name last year. CNN/Money is also a unit of Time Warner.

America Online lost 2.2 million net subscribers in 2003, an 8 percent drop in its subscriber base as some customers left for high-speed service provided by phone or cable companies while others switched to lower cost dial-up service. But the unit has continued to produce profits though, posting operating income of $663 million and earnings before depreciation and amortization of $1.5 billion in 2003. Its revenue of $8.6 billion, while off 5 percent from 2002 levels, was the second largest contributor to company revenues after its filmed entertainment unit, which had a record year.

Company officials were not immediately available for comment on the Post report. Time Warner spokesman Ed Adler is quoted in the Post as saying reports of an AOL sale or spin-off are a "rumor."

According to the newspaper Adler said: " We talk to bankers all the time about a wide range of issues about all of our businesses."

The company has shed a number of units in an effort to cut debt levels, including Warner Music, which was sold in a deal that closed March 1 for $2.6 billion, and its 50 percent stake in cable network Comedy Central, which was sold for $1.23 billion. Time Warner CEO Richard Parsons said in January that the debt reduction goals had essentially been met and that the company would now eye possible acquisitions.