2 qt. popped popcorn 3 C. crisp rice cereal 42 caramels 3 T. water 1 C. salted peanuts 1/8 tsp. salt Combine popcorn and cereal in a large bowl; set aside. In a heavy saucepan over low heat or in a microwave-safe dish, heat caramels and water until the caramels are melted. Stir in peanuts and salt; mix well. Pour over popcorn mixture and toss to coat. With buttered hands, shape into 3-inch balls. Reshape if necessary when partially cooled. Yields 10 popcorn balls.