FEATURED SLIDESHOW
Who Is The Worst CEO?Mad Money needed new inductees for its
Wall of Shame, so we asked viewers for
nominations.
RECENT POSTS
- Mad Mail: Chesapeake Energy Is Hiring?
- Lightning Round: Royal Dutch Shell, Bank of America, RF Micro Devices and More
- Lightning Round OT: Harley-Davidson, Heartland Payment and More
- Cramer’s Christmas List
- Cramer: This Stock Offers ‘Plenty of Upside’
- Cramer Cuts Through Bears' Bull to Explain Tuesday's Market
- Cramer: Buy These 2 Dividend Plays
- Remorseful Regulator Leads Reform Fight
- Lightning Round: AT&T, Verizon, Novartis and More
- Lightning Round OT: Alcoa, Weight Watchers and More
MAD MONEY FEATURES
PODCASTSWatch the Lightning Round whenever and wherever you want.
OFFICIAL MAD MONEY WIDGETGrab this all-in-one application and get recaps of the show sent right to your desktop or blog.
CRAMERS SOUNDBOARDAdmit it: You've always wanted to hit the "They
know nothing!" button. Here’s your chance.
CHECK OUT OUR PHOTOSCheck out Cramer on set, back to school, behind the scenes and more.
SHOP FOR MAD MERCHANDISEBuy Cramer books, bobbleheads and other Mad Money merchandise.
RING TONESPick up the phone! It's Cramer! New Mad Money sounds for your cell phone.
TEXT MESSAGE ALERTMad Money's mobile. Get show highlights sent to your phone.
Text Size 
Don’t believe all the hype about General Motors and Ford being cheap stocks, Cramer said Monday. Both companies have so much debt they’re not worth much at all – except to their creditors.
That’s right. The book value of GM’s [GM
Loading...
()
] equity is negative; Ford’s [F
Loading...
()
] equity is a barely significant amount of its capital. These companies’ debt, it seems, has overtaken any equity they have in their own business. That puts power not in the hands of stockholders, but the debt holders.
Cramer said these “bond bullies” could be about to take over. That’s what happened at Bethlehem Steel once pension, healthcare and debt obligations overwhelmed the company. Bethlehem stock looked like a bargain, much like GM and Ford do now, as the share price continued to drop. That so-called “deal” disappeared, though, once the company did.
Cramer sees parallels in Ambac [ABK
Loading...
()
] and MBIA [MBI
Loading...
()
], where he said the common-stock investor is no longer in control. Citigroup [C
Loading...
()
] faced a similar situation in 1990 until Prince Alwaleed of Saudi Arabia came to the rescue. If Citi – and Bank of America [BAC
Loading...
()
], Wachovia [WB
Loading...
()
], Merrill Lynch [MER
Loading...
()
] and Lehman Brothers [LEH
Loading...
()
] – don’t find that kind of angel this time around, Cramer said, these financials could end up like the autos.
So don’t let any on-the-surface cheapness of a stock lure you into buying, especially when it comes to GM and Ford, both companies Cramer said could be owned by its creditors soon enough.
Questions for Cramer?
Questions, comments, suggestions for the Mad Money website?
Data is a real-time snapshot *Data is delayed at least 15 minutes