2/3 c. evaporated milk
12 reg. marshmallows
2 c. granulated sugar
1/2 c. butter
1/8 tsp. salt
1 (6 oz.) pkg. semi-sweet chocolate chips
1 tsp. vanilla extract
1 1/2 (14 oz.) pkgs. caramels
2 tsp. water
1 1/2 c. pecan halves

In a heavy 2 quart saucepan, combine milk, marshmallows, sugar, butter, and salt. Cook over medium heat, stirring constantly, until mixture comes to a boil. Continue cooking and stirring 5 minutes. Remove from heat. Stir in chocolate chips and vanilla. Pour mixture into buttered 8 x 11 1/2 x 2 inch pan. Cool.

In top of a double boiler or in microwave, melt caramels with water. Stir until smooth. Spread on top of fudge. Press pecans into caramel. Allow caramel to set before cutting into pieces. Yield: Approximately 4 dozen squares of fudge.

Variation: In top of a double boiler or in microwave, melt 1 cup chocolate chips. Drizzle melted chocolate over pecans. Allow to set before cutting into squares.