Vintage Petroleum Inc. directors rejected a restructuring proposal received from investor and shareholder rights activist T. Boone Pickens Jr. recently, and they hired Credit Suisse First Boston Corp. for further advice. Pickens' new investment company, BP Capital Management LP, acquired 8.9% of the Tulsa-based producer's common stock this spring. In May it proposed dramatic changes that call for liquidating Vintage's North American assets to create a pure-play Latin American E&P company-at the very time Vintage's stock price has been hurt by economic turmoil there and the Argentine government increased an oil production tax. In response to BP Capital's proposal, Vintage reiterated its oft-stated strategy for domestic and international growth and its commitment to reducing what it admits is relatively high debt. "Vintage continues to be committed to its existing long-term strategic plan as a growth-oriented, opportunistic, diversified exploration and production company," it said in a statement. "Vintage does not believe the implementation of the BP Capital proposal would maximize shareholder value and believes pursuit of management's long-term plan will lead to greater value." In April, the company completed a public debt offering of $350 million of 8.25% senior notes, using proceeds to eliminate higher-interest debt. The company hopes to reduce financial obligations by another $200 million this year.