Chocolate Fudge

1 1/4 cups margarine or butter
3 (1 ounce) squares unsweetened chocolate
1/2 cup Karo light or dark corn syrup
1 tablespoon water
1 teaspoon vanilla extract
1 pound confectioners sugar
1 cup chopped nuts

Grease an 8-inch square baking pan.

Melt margarine or butter and chocolate over low heat. Stir in corn syrup, water and vanilla extract. Remove from heat. Stir in remaining ingredients until smooth. Turn into pan. Cool and cut into squares.

Makes 1 3/4 pounds.