49 (14 oz. bag) Kraft caramels
3 tbsp. water
5 c. Rice Krispies
1 c. walnuts or pecans
1 (6 oz.) pkg. Nestles semi-sweet real chocolate morsels
1 (6 oz.) pkg. butterscotch morsels

Melt caramels with water in saucepan over low heat. Stir frequently until sauce is smooth. Pour over cereal and nuts. Toss until well coated. With greased fingers, press mixture into greased 9"x13" pan. Sprinkle morsels on top. Place in 200 degree oven for 5 minutes or until softened. Spread to form frosting. Cool.