Preparation:
Cream sugar and butter together. Add water and vanilla extract. Mix well. Add flour and nuts, a little at a time. Mix well. Dough should be stiff. Refrigerate dough for at least 4 hours, but preferably overnight.
Roll teaspoonsful of the dough into the shape of crescents. Bake on ungreased cookie sheet at 375 degrees F for 15 to 20 minutes. Do not over-bake. The bottom edges should just barely be brown. Allow cookies to cool. Remove from baking sheet when cool and roll the cookies in powdered sugar until well coated. | 