White Christmas Cake Recipe

In a saucepan, bring the water to a boil. Remove from the heat; stir in candy coating until melted. Cool for 20 minutes. Line three greased 8-in. square baking dishes with waxed paper and grease the paper; set aside. Meanwhile, in a bowl, cream butter and sugar. Add egg yolks; mix well. Beat in coating and vanilla. Combine flour, baking powder and baking soda; add to creamed mixture alternately with buttermilk. Mix well. Stir in the coconut and pecans. Beat egg whites until stiff peaks form; fold into the batter. Pour into prepared dishes. Bake at 350 ° for 25-30 minutes or until cake tests done. Cool for 10 minutes before removing from dishes to wire rack to cool completely. For frosting, in a large bowl, beat cream cheese and butter until light. Add confectioners' sugar, milk and vanilla; beat until smooth. Spread frosting between layers and over top and sides of cake.