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Caramel Nut Candy

1 pound light caramels
2 tablespoons water
1 can (12 oz.) mixed nuts (about 2 cups)
 
Lightly butter 8-inch square baking pan.  In 2-quart glass measure, combine caramels and water and microwave on HIGH 2 to 3 minutes or until caramels soften slightly.  Stir through using wooden spoon to melt caramels completely.  Blend in nuts, mixing well.  Pour into prepared pan.  Refrigerate until firm.  Cut into 1-inch squares before serving.
 
About 7 dozen pieces.