Rita Moreno's episode is EPIC! Her performance of "Fever" is worth the price of admission alone...although the Newsman, Swedish Chef, and Marvin Suggs had memorable segments from this episode too. From season 1, I also liked the episodes starring Florence Henderson, Paul Williams, Harvey Korman, Peter Ustinov, Vincent Price, Candice Bergen, Avery Schreiber, Twiggy, and Ethel Merman.
I began watching the Muppet Show when I was five or six because of a VHS called "More Muppets Please!" It was a compilation of classic backstage plots and sketches including Pigs in Space: Electric Toaster, Muppets Labs: Teleporter, Fozzie and Chucky, In the Navy, and more. Then when the DVDs came out my parents gave them to me as birthday or Christmas gifts. Boy, was I a happy camper for the next few years!