Caramel Thumbprints

Source: Kraft Foods

1/2 cup (1 stick) butter, slightly softened
2/3 cup sugar
3 squares BAKER'S Semi-Sweet Baking Chocolate, melted
1 egg
1/2 tsp. vanilla
1-1/2 cups flour
2/3 cup finely chopped PLANTERS Pecans
18 KRAFT Caramels
2 Tbsp. milk

PREHEAT oven to 350°F. Beat butter and sugar in large bowl with electric mixer on medium speed until light and fluffy. Add chocolate, egg and vanilla; mix well. Add flour; beat until well blended.

SHAPE dough into 1-inch balls. Roll in pecans; press pecans gently into dough to secure. Place, 1 inch apart, on ungreased baking sheets. Make indentation in center of each ball with your thumb.

BAKE 12 to 14 min. or until lightly browned. Remove from baking sheets; cool on wire racks.

MICROWAVE caramels and milk in microwaveable bowl on HIGH 1 min. or until caramels are completely melted, stirring after 30 sec. Spoon into centers of cookies; cool until set.