Microwave chocolate in large microwaveable bowl on HIGH 2 min. or until chocolate is almost melted, stirring after 1 min. Stir until chocolate is completely melted.

Stir in peanut butter until well blended. Cool to room temperature. Gently stir in COOL WHIP. Refrigerate 1 hour.

Scoop peanut butter mixture with melon baller or teaspoon, then shape into 1-inch balls. Roll in sugar. Store in tightly covered container in refrigerator.