USX Beats Restructuring by Less Than Anticipated

USX Corp. stockholders rejected a proposal by financier Carl C. Icahn to split the company’s steel and oil businesses, but the margin of victory in the figures released Thursday showed that management had less than resounding support.

Pittsburgh-based USX released the preliminary results of the May 7 annual meeting, where Icahn tried to win support for his measure to restructure the corporate giant.

Icahn managed to win a surprising 42.9% of the non-binding vote for his dissident action to restructure the company, while management, opposing the proposal, won 57.1%. Of the total shares outstanding, 14% were not voted.

Analysts said the margin of victory increased pressure on USX to consider a restructuring. Icahn, who owns 13.3% of USX, indicated that he was far from throwing in the towel in the fight to alter the oil and steel giant.

“There was enough of a message sent that they have to keep their ears open for what shareholders are saying,” said analyst Jeffrey Miller of Duff & Phelps. “They can’t gloat too much.”

“The shortfall from a clear-cut victory really came down to a handful of institutions, several of whom expressed to me that they agreed with what we were trying to accomplish,” Icahn said in a statement.

Icahn, speaking later by telephone, said he had received several offers to sell his stake in the company but had brushed them off.

“We do not plan to sell our stock,” he said. “We’ve had several bids for the stock in the last few weeks, but have turned them all down.”