Cramer's 'Mad Money Recap': Yum! Brands' Delicious Global Business

Cramer first recommended ConAgra on Oct. 26, 2005, and then again on March 28, 2006. Those calls are down 10% and 6% respectively.

"Why hasn't this worked?" he asked. ConAgra, he explained, is a great food company, with 27 different brands that are either No. 1 or No. 2 in their categories. Cramer expected the company to increase profits through cost savings, but instead, higher raw food costs have derailed that plan.

Cramer welcomed Gary Rodkin, president and CEO of ConAgra, to explain what's happening. Rodkin expressed his confidence in his company's business model and its strong brand portfolio.

He defended the sale of the commodity food business, saying it will help transform ConAgra into a more lucrative packaged food company.

Rodkin explained that a combination of strong global demand, a weak dollar sparking exports, and the U.S.'s current energy policy that promotes increased ethanol production are all contributing to the company's higher food costs.''

However, Rodkin feels selling the commodity side of their business will make ConAgra a better business that's more focused on what matters.

Cramer reserved judgment on ConAgra. He told investors if they believe raw costs will continue to rise, they should choose to stay away from ConAgra, but if not, the company's great brands are selling for way too little.

Lightning Round

In the Lightning Round, Cramer was bullish on Diageo (DEO Quote), Schering-Plough (SGP Quote), Ford Motor (F Quote), AT&T (T Quote), Verizon (VZ Quote), Atlas Energy Resources (ATN Quote) and Yamana Gold (AUY Quote).

Cramer was bearish on LSI Logic (LSI Quote), Lifecell (LIFC Quote) and Citizens Communications (CZN Quote).

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