1/4 c. butter
2 eggs, beaten
1/2 c. water
1/2 to 3/4 tsp. peppermint extract
1 (16 oz.) pkg. pound cake mix
12 drops red food coloring
Mint fudge sauce

Cream butter in a large mixing bowl; add eggs, one at a time, beating well after each addition. Add water and peppermint extract, beating well. Add pound cake mix, and beat at medium speed of an electric mixer 3 minutes, scraping bowl often.

Drop red food coloring over surface of batter; stir gently just to swirl color. Bake at 350 degrees for 35 minutes or until a wooden pick inserted in center comes out clean. Let cool in pan 10 minutes; remove from pan, and cool completely on wire rack. Serve with Mint Fudge Sauce. Yields 1 8-inch cake.

MINT FUDGE SAUCE:

4 (1 oz.) squares unsweetened chocolate
3/4 c. milk
1 c. sugar
Dash of salt
1/4 c. plus 2 tbsp. butter
2/3 c. finely crushed peppermint

Combine chocolate and milk in the top of a double boiler. Place over simmering water and stir frequently until chocolate melts and mixture is well blended. Stir in sugar and salt; cook about 5 minutes or until sugar is slightly thickened. Remove from heat, and add butter; stir gently until butter melts. Serve warm or cool completely and spoon into decorative jars. Cover tightly and refrigerate up to 3 weeks. Yields 2 1/2 cups.