Peachy Chicken

PEACHY CHICKEN
3 chicken breasts, halved (we cut ours into smaller pieces)
1/2 c. flour
salt and pepper to taste
2 TBS. butter
2 TBS. cooking oil
1 1/2 c. orange juice
2 TBS. vinegar
2 TBS. brown sugar
1 tsp. basil
1/2 tsp. nutmeg
16 oz. can peach halves, drained (we really like the peaches so we use the 29 oz. can)

In a plastic Ziploc bag add flour, salt, and pepper. Place chicken in bag and shake until coated. In a pan, heat butter and oil. Brown chicken on all sides. Place browned chicken in a greased casserole dish. In a medium bowl, combine orange juice, vinegar, sugar, basil, and nutmeg. Pour over chicken. Cover with foil and bake @ 375 degrees for 1 hour 15 minutes or until tender. Baste often. Then place peach halves between chicken pieces, baste well, and bake uncovered for 15 minutes longer.
I like to serve with brown or wild rice, but white works, too.