3 slices bacon, diced
1 c. chopped onion
2 c. cubed (peeled if desired) red potatoes
1 1/2 c. water
1 can (8 oz.) tomato sauce
1/2 c. picante sauce
1/2 tsp. salt
1/2 lb. cheese spread (pasteurized process) cut into 1/2 inch cubes

Cook bacon in large saucepan until crisp, remove. Drain all but 1 tablespoon drippings. Add onion to dripping, cook until tender. Add remaining ingredients except bacon and cheese. Bring to a boil; reduce heat.

Cover and simmer until potatoes are tender, about 20 minutes. Add cheese, stirring until melted. Ladle into soup bowls; top with bacon and serve with additional picante sauce. Makes 4 to 5 servings, about 5 cups soup.