CNBC's Cramer has been, until recently, pushing stocks that pay a big dividend due to their depressed stock prices. Now even the best companies are feeling the credit crunch and have to find new ways to generate cash. As a result we are seeing dividends cut or stopped entirely by these same "best" companies.

Does that mean we should avoid companies that have done this? Not necessarily.

Companies like Alcoa, DuPont, Dow, and others, are healthy, with strong balance sheets, and are trying to weather these devastating times. How smart is it to continue dividends in a time of unprecedented losses in sales and profits. Beware of companies that continue to pay dividends that amount to more than their profits. They are putting stockholders at risk, long term, just to keep their stock prices artificially inflated.

When trying to make investment decisions don't look at the dividend payback alone. Look for strong balance sheets with cash. Most companies that are priced at historically low prices are caught in the recession with little sales demand, or are being dumped by funds that need cash, thus lowering their stock price. Either way, there are long term buying opportunities out there.

Just be sure to know the strength of the balance sheet and don't get enamored with high dividend rates alone.

We could be headed for a "Depression Like" period that could last beyond mid-2010. Investments should be made with that in mind. Dividends can disappear, therefore, one should invest in companies with balance sheets that can weather the storm. Not paying a dividend may be a good sign in these times. What do you think?