Sun Feels Investors' Heat

Updated from 3:13 p.m. EDT

Frustrated by the lackluster performance of shares of Sun Microsystems(SUNW Quote), investors on Thursday called for reforms at the Santa Clara, Calif., company. But despite the proxy-based protest, it's unclear whether Sun will take the matter to heart.

Gathered at Sun's headquarters for its annual shareholder meeting, investors overwhelmingly approved a measure to do away with the company's poison-pill provisions, and showed strong support for a measure to tie senior management's compensation to performance targets.

In a preliminary vote tally, Sun reported that 84% of voters endorsed a proposal to give shareholders a greater say in the company's poison-pill provision, which is a method of fending off an unwanted takeover by instantly creating shares, thus driving up the acquisition price. ...