Safe Dividend

In an "Executive Decision" segment, Cramer sat down with Maggie Wilderotter, chairman and CEO of Frontier Communications ( FTR), a stock which Cramer recently placed in the "Sell Block" after the company slashed its dividend by 25% when it acquired 4.8 million access lines from Verizon ( VZ).

Wilderotter said Frontier has been a high-paying dividend company since 2004, and chose to reduce its dividend to investing in new markets, grow revenue and created even more cash flow going forward. She noted that even after the reduction, Frontier is still one of the highest-yielding companies in the S&P 500.

Wilderotter also noted that the deal with Verizon was initiated by her, and de-leveraged the company from 3.9 times earnings to just 2.6 times earnings. She said Frontier's billing systems are also scalable, allowing the company to easily absorb the new lines. In addition, Wilderotter said she's "very comfortable" with the $500 million in synergies predicted from the deal.

When asked about the 11.2% loss of lines reported from the deal, Wilderotter said she knows how to turn that tide around, and Frontier had lower- than-average line losses before the deal.

Finally, when asked whether the dividend is safe, Wilderotter said simply, "Yes." Cramer said he felt better about Frontier after having the conversation, and investors should, too.

Lightning Round

Cramer was bullish on Sears Holdings ( SHLD), Home Depot ( HD), BP Prudhoe Bay Royalty Trust ( BPT), Permian Basin Royalty Trust ( PBT), Union Pacific ( UNP), Intuit ( INTU), DuPont ( DD), CBOE Holdings ( CBOE), First Horizon National ( FHN), PNC Financial Services ( PNC) and US Bancorp ( USB).

He was bearish on Petroleo Brasileiro ( PBR), Penn West Energy Trust ( PWE), H&R Block ( HRB) and Green Mountain Coffee Roasters ( GMCR).

--Written by Scott Rutt in Washington, D.C.

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At the time of publication, Cramer was long Intel, JPMorgan Chase.

Jim Cramer, host of the CNBC television program "Mad Money," is a Markets Commentator for, Inc., and CNBC, and a director and co-founder of All opinions expressed by Mr. Cramer on "Mad Money" are his own and do not reflect the opinions of or its affiliates, or CNBC, NBC UNIVERSAL or their parent company or affiliates. Mr. Cramer's opinions are based upon information he considers to be reliable, but neither, nor CNBC, nor either of their affiliates and/or subsidiaries warrant its completeness or accuracy, and it should not be relied upon as such. Mr. Cramer's statements are based on his opinions at the time statements are made, and are subject to change without notice. No part of Mr. Cramer's compensation from CNBC or is related to the specific opinions expressed by him on "Mad Money."

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