Combine kung pao sauce, water and red pepper in small bowl. Place beef steaks and sauce mixture in large nonstick skillet; bring to a boil. Reduce heat; cover tightly and simmer 45-60 minutes or until beef is fork-tender.
Remove beef; keep warm. Add frozen vegetables to skillet; bring to a boil. Reduce heat to medium; cook, covered, 5 to 7 minutes or until just tender, stirring once. Stir in peanuts.
Serve steaks with vegetable mixture over rice, if desired. Sprinkle with green onions, if desired.
Nutrition information per serving: 451 Calories; 162 kcal Calories from fat; 18 g Total Fat; 4 g Saturated Fat; 8 g Monounsaturated Fat; 8 mg Cholesterol; 1078 mg Sodium; 24 g Total Carbohydrate; 2.3 g Dietary Fiber; 46 g Protein; 4.4 mg Iron; 9.6 mg Niacin; 0.6 mg Vitamin B6; 2.3 mcg Vitamin B12; 7.2 mg Zinc; 46.3 mcg Selenium;