7 Firms to Withhold Votes for MCI Board

MCI Inc. shareholders owning at least 20% of the company plan to withhold votes for directors at next week’s annual meeting to protest the board’s decision to accept a takeover bid from Verizon Communications Inc.

Omega Advisors Inc. and six other investment firms that together hold about 65 million of MCI’s 325 million shares won’t back the reelection of MCI’s directors at the meeting Monday in Chantilly, Va., executives at the firms said.

The revolt signals that MCI Chief Executive Michael Capellas may not easily win shareholder support for the decision to accept Verizon’s $8.4-billion offer.