Grease 11X7-inch pan; set aside. Heat honey and peanut butter in medium saucepan over medium heat until smooth and thin, stirring occasionally; remove from heat. Stir in peanuts, powdered sugar and toasted oats.

Press peanut mixture into prepared pan using greased fingers. Cover and refrigerate 1 hour or until firm. Run sharp knife around edges of peanut mixture; remove mixture to cutting board. Cut crosswise into 6 strips; cut each strip into 6 pieces.

Prepare Peanutty Coating, if desired. Place Peanutty Coating or additional powdered sugar in small bowl; roll candy pieces in mixture to coat well. Wrap individual pieces in colored plastic wrap. Store in airtight container at room temperature.

Place peanuts and powdered sugar in food processor; process using on/off pulsing action until peanuts are finely ground.