1/2 cup butter, softened
1 1/4 cup granulated sugar
8 ounces cream cheese, softened
2 eggs
2 1/4 cups all-purpose flour
3 teaspoons baking powder
1 teaspoon salt
1 (5 1/2 ounce) can evaporated milk
1/4 cup water
1/2 cup pecans, chopped
2 tablespoons grated lemon rind
1/3 cup granulated sugar
1/4 cup lemon juice

Preheat oven to 350 degrees F.

Cream butter, sugar, and cream cheese until light and fluffy. Add eggs, one at a time, beating thoroughly after each one.

Mix together flour, baking powder and the salt, and add alternately with milk and water, blending well after each addition. Fold in nuts and lemon rind.

Pour into a greased and floured 9 x 5 x 3-inch loaf pan. Bake at 350 degrees F for about 1 hour or until golden brown.

Stir sugar with lemon juice until dissolved. Drip over hot loaf. Let stand in pan for 30 minutes, and finish cooling on a wire rack.