In an SEC filing Monday, TW wants bondholders to vote on an exchange of more than $12 billion in debt guarantees to HBO, a Time Warner unit. That would open the door for the transfer of AOL assets.
AOL has faced challenges for several years. It changed from a subscription model to an advertising model in 2006, without the success Time Warner would have liked.
Earlier this year, Time Warner pared itself down by spinning off its interest in Time Warner Cable.