Maraschino Cherry Cake

1 (8 ounce) bottle maraschino cherries, cut up, with juice
Milk
3 1/4 cups flour, divided
1/4 pound walnuts or pecans, chopped
1 cup butter
2 cups granulated sugar
4 eggs, separated
2 teaspoons baking powder
1 teaspoon baking soda

Preheat oven to 350 degrees F.

Pour cherry juice into cup and fill with milk to measure 1 cup. Sift 1/4 cup flour over cherries and nuts. Cream butter and sugar well, adding yolks one at a time, beating well. Add cherries and nuts. Sift baking powder, baking soda and 3 cups flour and add alternately with liquid to butter mixture. Fold in beaten egg whites. Bake in greased and floured 9-inch fluted tube form for one hour.