1 (14 oz.) pkg. Kraft caramels
1/4 c. water
6 c. bite-size crispy rice cereal squares
2 c. pecan halves

Heat oven to 300 degrees. Melt caramels with water in heavy 2 1/2 to 3-quart saucepan over low heat, stirring frequently until smooth. Add cereal and pecans; mix lightly until well coated. Spread into greased 15x10x2 inch baking pan.

Bake 25 minutes, stirring after 15 minutes. Cool thoroughly; break apart. Makes about 10 cups.

MICROWAVE: Microwave caramels and water in medium microwave-safe bowl on high 1 1/2 minutes; stir. Continue microwaving 30 seconds to 1 minute or until smooth, stirring every 30 seconds. Continue as directed.

VARIATION: Add 1/2 cup Baker's semi-sweet real chocolate chips to cooled cereal mixture; mix lightly.