2-2/3 cups chopped pecans
1-1/4 cups butter, softened, divided
2 cups sugar
4 eggs
2 teaspoons vanilla extract
3 cups all-purpose flour
2 teaspoons baking powder
1/2 teaspoon salt
1 cup milk

FROSTING: OR PURCHASE
1 cup butter, softened
8 to 8-1/2 cups confectioners' sugar
1 can (5 ounces) evaporated milk
2 teaspoons vanilla extract

2 -2/3 cups chopped pecans

Place pecans and 1/4 cup butter in a baking pan. Bake at 350° for 20-25 minutes or until toasted, stirring frequently; set aside.
In a large bowl, cream sugar and remaining butter until light and fluffy. Add eggs, one at a time, beating well after each addition. Stir in vanilla. Combine the flour, baking powder and salt; add to the creamed mixture alternately with milk, beating well after each addition. Stir in 1-1/3 cups of toasted pecans.
Pour into three greased and floured 9-in. round baking pans. Bake at 350° for 25-30 minutes or until a toothpick inserted near the center comes out clean. Cool for 10 minutes before removing from pans to wire racks to cool completely.
For frosting, cream butter and confectioners' sugar in a large bowl. Add milk and vanilla; beat until smooth. Stir in remaining toasted pecans. Spread frosting between layers and over top and sides of cake. Yield: 12-16 servings