Wachovia's Fork

Memo to Wachovia (WB - commentary - Cramer's Take): Read Ed Najarian's piece about you today, the "upgrade to neutral" piece that says you are at the fork in the road.

I would change the title. I would say, "They are going to stick a fork into you unless you do as they say," which is to create a "good bank/bad bank" structure that would cordon off all of that pay option ARMs stuff and allow someone to buy the company at a decent price before the company gets merged at a $2-$7 range.

First, why bother to consider this? How about that Merrill had this one as a sell? That makes me pay attention right up top.

Second, I remember when Mellon did a "good bank/bad bank" strategy in the '80s and it worked like a charm. Third, I think there are people who would pay for a big package of these mortgages, if sold at the right price by aggressive salespeople who are given 2% on sales to wealthy people.

This piece is the way out of this jam for banks like Wachovia with real deposits that are worth a lot of money. It is a creative way.

And if it isn't done, the fork in the road will be the fork in the eye for Wachovia.

Random musings: Nucor (NUE - commentary - Cramer's Take) upgrade makes a ton of sense. My talks with metal execs this last week leads me to believe that the U.S. carmakers are going to have to pay the surcharges because there are many countries that need that steel.

At the time of publication, Cramer had no positions in the stocks mentioned.

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