Candy cane cookies

1      cup           butter -- softened
   1      cup           confectioners' sugar
   1                    egg
     1/2  teaspoon      peppermint extract
     1/2  teaspoon      vanilla extract
   2 1/2  cups          all-purpose flour
     1/4  teaspoon      salt
   1      cup           finely crushed candy canes
   3      tablespoons   granulated sugar

Preheat the oven to 375F. In a large bowl, with an electric beater on
medium speed, cream the butter and confectioners' sugar until light and
fluffy. Add the egg and the peppermint and vanilla extracts and beat until
well blended. Gradually add the flour and salt; mix well. Cover the bowl
tightly with plastic wrap and chill for 1 hour. Coat two baking sheets with
nonstick cooking spray. In a shallow bowl, combine the crushed candy canes
and the granulated sugar; mix well. Shape the chilled dough into 1-inch
balls then roll each ball in the candy cane mixture; place on the baking
sheets and bake for 10 to 12 minutes, or until browned. Immediately remove
from the baking sheets and place on wire racks to cool.