Moist Caramel Apple Cake

1

pkg.  (2-layer size) yellow cake mix

1

pkg.   (3.4 oz.) JELL-O Vanilla or French Vanilla Flavor Instant Pudding

1

cup  water

4

 eggs

1/3

cup  oil

3

 Granny Smith apples (1 lb.), peeled, coarsely chopped

20

 KRAFT Caramels

3

Tbsp.  milk

make it

HEAT oven to 350ºF.

BEAT first 5 ingredients in large bowl with mixer until well blended. Stir in apples. Pour into greased and floured 12-cup fluted tube pan or 10-inch tube pan.

BAKE 50 min. to 1 hour or until toothpick inserted near center comes out clean. Cool cake in pan 15 min. Loosen cake from side of pan; invert onto wire rack. Gently remove pan. Cool cake completely. Transfer to plate.

MICROWAVE caramels and milk in microwaveable bowl on HIGH 1-1/2 min. or until caramels are completely melted and sauce is smooth, stirring every 30 sec. Cool 10 min. or until slightly thickened. Drizzle over cake.