Heat oven to 350 degrees F. Coat 2 heart-shaped pans ( 8 x 7-1/2 x 2-inch) with nonstick cooking spray. Line bottom of pans with waxed paper; spray again.

Blend cake mix, water, oil and eggs in large bowl at low speed until moistened, about 30 seconds. Beat at medium speed for 2 minutes. Stir in peppermint extract and chocolate chips. Evenly divide between prepared pans.

Bake at 350 degrees F for 40 minutes or until a toothpick inserted in the center comes out clean. Cool for 10 to 15 minutes on a wire rack. Turn out of pans and cool completely. Remove waxed paper.

Frosting: On low speed, beat butter, shortening and extracts until combined. Gradually beat in confectioners' sugar and 6 tablespoons of the milk, until smooth. Add the additional tablespoon of milk if needed for good consistency.

Level top of cake layer with serrated knife. Place a cake layer, cut side down, on a serving plate. Frost with 1 cup prepared chocolate frosting. Place remaining layer on top, cut side down.

Tint 3/4 cup of the white frosting light pink with food coloring. Spread on top of cake. Apply 3/4 cup of white frosting to sides in a thin coat.

Place cake in front of you, pointy side up. With a toothpick, mark where ruffle of hat will be piped, about 2-1/2 to 3 inches from top. Mark where beard ends on face, leaving a 3-inch round for face.

Tint 3/4 cup frosting bright red and place in a small pastry bag fitted with coupler and a small star tip. Pipe on hat. Place remaining white frosting in a large pastry bag fitted with coupler and a shell tip. Pipe a ruffle along the brim of the hat. Pipe swirls for hair and beard using "C" motion. Pipe pom-pom on point of hat. Place candy on face for eyes and nose. Pipe on eyebrows and mouth.