1 1/2 c. walnuts
2 tbsp. butter for pan coating
2 tbsp. sugar for pan coating
1 c. butter
6 oz. cream cheese
2 tsp. baking powder
1 tsp. lemon rind
1/2 tsp. lemon juice
1 1/2 c. sugar
4 eggs
2 c. sifted cake flour

Preheat oven to 300 degrees. Chop 1/3 cup walnuts very fine for pan coating. Chop remainder of walnuts medium fine for batter. Butter a 2 quart Bundt pan heavily, using 2 tablespoons butter. Sprinkle 1/3 cup finely chopped walnuts and 2 tablespoons sugar.

Cream 1 cup butter with cream cheese and lemon rind and 1/2 teaspoon lemon juice. Gradually beat in 1 1/2 cups sugar, beat in eggs, one at a time until well blended, batter may look slightly curdled. Resift flour with baking powder, gradually blend into creamed mixture. Stir in walnuts. Turn into prepared pan and bake 1 hour and 20-30 minutes. Cake tester should come out clean. Let cake stand in pan for 10 minutes on wire rack. Then turn out on wire rack to cool.