Sauerkraut with Bacon and Apples

1/4 pound sliced apple-wood smoked bacon
2 tart apples, such as Granny Smith, peeled, cored, and grated
1 yellow onion, diced
2 cloves garlic, minced
1 teaspoon caraway seeds, ground
3 cups apple cider or apple juice
1/4 cup white wine vinegar
2 pounds of refrigerated (in a jar, not can), prepared sauerkraut, drained (about 1 24-fluid-ounce jar, drained)

Put bacon in a large, high-sided oven-proof saut? pan with a lid and place over medium heat. Cook for about 5 minutes, or until most of the fat has been rendered out, turning as needed. Drain excess fat from pan (leave in about a tablespoon). Remove bacon from the pan and let cool on a plate lined with a paper towel. Roughly chop the bacon and set aside.

Add the apples, onion, garlic, and caraway and decrease the heat to low. Cover partially and cook for 10 minutes, until the onion is tender.

Remove the lid, stir in the apple cider and vinegar, increase the heat to high, and bring to a boil. Cook for about 5 minutes, or until the liquid is reduced to a thick, syrupy consistency.

Reduce the heat to low. Stir in the sauerkraut and bacon, cover, and cook 10 minutes, or until sauerkraut is heated through and tender. Season to taste with salt and pepper.