Pour cereal into large bowl, set aside. Combine chips, peanut butter, butter in microwave safe bowl. On HIGH 1 1 1/2 minutes or until smooth stir after 1 minute. Stir in vanilla. Pour over cereal, stir until all pieces are coated. Pour cereal mixture into large plastic bag with powdered sugar seal. Shake until all pieces are coated. Spread on wax paper to dry. Store in air tight containers or sealable bags.
Serves 9. Make with the kids. Yields: 9 cups.