2 c. flour
1 tbsp. baking powder
1/4 tsp. salt
4 eggs, separated, at room temperature
2 c. sugar, divided
1 c. finely chopped pecans or walnuts (we used pecans)
1 sq. (1 oz.) unsweetened chocolate, grated
1/2 c. butter, softened
1 tsp. vanilla
3/4 c. milk
2 sq. (1 oz.) each semisweet chocolate melted with 3 tablespoons water (for garnish; optional)
8 pecan or walnut halves (for garnish; optional)

Grease 9 or 10 inch tube pan. Line bottom with waxed paper; set aside. Stir together flour, baking powder and salt; set aside. In medium bowl beat egg whites until soft peaks form. Gradually beat in 1 cup sugar until stiff, glossy peaks form. Fold in nuts and grated chocolate. Spread mixture on bottom and three quarters up sides of pan as though lining it. In large bowl cream butter and remaining 1 cup sugar until light and fluffy. Beat in egg yolks and vanilla until well blended. Stir in flour mixture alternately with milk until well blended. Pour cake mixture into pan, making sure it is surrounded by meringue on all sides and lower than top of meringue. Bake in preheated 325 degree oven 65 to 75 minutes or until pick inserted in middle of cake comes out clean. Do not invert pan. Cool on rack 25 minutes or until sides can be loosened easily with metal spatula. Turn out on serving plate. Peel off waxed paper; cool completely. Garnish with melted chocolate, mixture and pecans dipped in chocolate mixture. Makes 12 servings.