1. Mix sugar and water in medium saucepan. Bring to boil on medium-high heat. Add cranberries, cinnamon and orange peel; return to boil. Reduce heat to medium-low; simmer 10 minutes or until cranberries burst and sauce begins to thicken, stirring occasionally.
2. Remove from heat. Stir in vanilla. Cool to room temperature. Cover.
3. Refrigerate until ready to serve.
Cranberry sauce can be prepared up to 1 week ahead. Store in refrigerator. Stir before serving.
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