1 (14 oz.) pkg. caramels
1/4 c. water
3/4 c. peanut butter
4 c. Cheerios
1 c. peanuts
1 c. milk
chocolate chips
1/2 c. butter

Heat caramel, water and 1/2 cup peanut butter on high for 1 minute; stir. Heat 1 or 2 minutes longer until melted. Add peanuts; stir. Spread into 13 x 9 x 2-inch pan.

In another pan, heat chips, butter and remaining peanut butter on high for 30 or 60 seconds. Spread over cereal mixture. Refrigerate before cutting.