In a microwave safe bowl, combine apples, cinnamon and water. Microwave for 3-4 minutes. The apples should be slightly tender.
Drain apples and toss with Marzetti Old Fashioned Caramel Dip. Spoon the apples into bottom of greased 9x13 baking dish.
In a mixing bowl, whisk together eggs, milk and vanilla.
Dip each piece of bread into egg mixture and place on top of apple layer. Repeat with remaining bread slices. Spoon any extra egg mixture over bread. Cover with plastic wrap and Refrigerate for 3 hours or overnight.
Preheat oven to 350 degrees F.
Pour melted butter over the slices of bread and sprinkle with pecans.
Bake 25-30 minutes or until bread is golden brown.
Allow French toast to stand for a few minutes before eating. Serve with extra warm caramel sauce.