2 c. all purpose flour
1 3/4 c. sugar
2/3 c. baking cocoa
1 1/2 tsp. baking powder
1 1/2 tsp. baking soda
1/2 tsp. salt
1 c. milk
1 c. water
1/2 c. vegetable oil
2 eggs
2 tsp. vanilla
1 pkg. peanut butter and milk chocolate morsels, divided
8 oz. cream cheese, softened
1 tsp. vanilla
1/8 tsp. salt
3 c. 10X sugar
1- 2 oz. semi-sweet bar of baking chocolate

In large mixing bowl, combine flour, sugar, cocoa, baking powder, baking soda and 1/2 tsp. salt. Add milk, water, oil, eggs and 2 tsp. vanilla; blend until moistened. Beat for 2 minutes, batter will be thin. Pour into 2 greased and floured 9 inch round cake pans. Sprinkle 1/3 cup morsels over each cake.

Bake at 350°F for 25 - 30 minutes or until toothpick comes out clean. Cool in pans on wire rack for 10 minutes. Remove cakes to wire racks and cool completely.

In a small microwave bowl, microwave remaining morsels on medium for 1 minute. Stir. Microwave an additional 10 -20 second intervals, stirring until smooth. In a mixing bowl, beat cream cheese, melted morsels, 1 tsp. vanilla and 1/8 tsp. salt until light and fluffy. Gradually beat in 10X sugar. Spread frosting between layers and on top and sides of cake. Garnish with chocolate curls.

Yield 10 - 12 servings.