Growth in Texas
In the "Executive Decision" segment, Cramer spoke with Bruce Northcutt, president and CEO of Copano Energy (CPNO), a natural gas pipeline operator with a juicy 6.5% dividend yield. Shares of Copano are up 50%, including dividends, since Cramer first recommended the stock on April 8, 2010.
Northcutt said the real story behind Copano is growth. He said the company is currently building $400 million worth of new projects, primarily in the Eagleford shale region of Texas, an area where wells can be drilled aggressively for decades.
Northcutt also explained that unlike a master limited partnership, Copano is organized as an LLC, and thus without a general partner, is able to pay out more of its earnings to shareholders.When asked why the company didn't turn to a secondary offering of stock to fund its projects, Northcutt said that Copano chose to not stress its balance sheet by offering more equity and instead turned to private equity which has proven to be a great partner for the company Finally, when asked why so many negative environmental stories are populating the media, Northcutt said that in the Northeast, the Marcellus shale region lies in the heart of coal country, and is likely getting push back from competing interests. In Texas, Northcutt said there have been little to no incidents affecting the environment or safety. Cramer continued his recommendation of Copano.
Lightning RoundCramer was bullish on Whole Foods (WFMI), Kroger (KR), Caterpillar (CAT), Motricity (MOTR), Linn Energy (LINE) and Endeavour Silver (EXK). He was bearish on SuperValu (SVU).
Closing CommentsIn his "No Huddle Offense" segment, Cramer said it's time to go after the real bad guys and leave Goldman Sachs alone. Cramer said Goldman is constantly under government scrutiny, yet the leaders of the real reckless firms, like Countrywide, AIG (AIG), Merrill Lynch and Lehman Brothers all seem to have gotten off scott-free. Cramer said the bad guys need to be put in jail for the havoc they caused, but Goldman should be commended for shedding bad mortgages and working hard to save itself. --Written by Scott Rutt in Washington, D.C. To contact the writer of this article, click here: Scott Rutt. To follow the writer on Twitter, go to http://twitter.com/scottrutt. To submit a news tip, send an email to: email@example.com. To watch replays of Cramer's video segments, visit the Mad Money page on CNBC. Want more Cramer? Check out Jim's rules and commandments for investing from his latest book by clicking here. For more of Cramer's insights during the Lightning Round, click here.
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