Nutted Caramel Popcorn Balls - Recipe #55 of 98

1 lb Dairy Caramels
2 tb Hot Water
1 c Mixed Salted Nuts
1/2 c Salted Peanuts
2 qt Popped Popcorn (8 c Popped, 1/2 c Kernels)

Day before: In covered double boiler, heat caramels with water, stirring frequently, till smooth. In a large bowl, toss popcorn with nuts. Pour melted caramels over popcorn; toss until well coated. With buttered hands, form at once into about 17 - 2 1/2" balls or 35 1 1/4" balls. Insert wooden skewers, lollipop fashion, if desired. Wrap each in plastic wrap & store at room temperature until served next day.