1. Boil the potatoes until just done (approximately 15 to 18 minutes). Drain and cool. When cool enough to handle, quarter each potato lengthwise and place in a large bowl; set aside.
2. In a large skillet, over medium heat, add half of the olive oil; peel and cut onion into thin, 1-inch long strips, kosher salt; freshly ground pepper, and thyme. Cook and stir until the onion begins to soften, about 3 minutes.
3. Add bell peppers that have been cut into thin, 1-inch long strips; cook, and stir for 2 to 3 minutes or until the peppers begin to soften, but are not cooked through. Remove from the heat and add to the potatoes in the bowl; toss to combine.
4. In a small bowl, whisk together the remaining olive oil and the vinegar (or sherry). Pour over the salad and stir to coat. Refrigerate until ready to serve.
5. Before serving, give the salad a good stir.
Source: Hannaford fresh Magazine, July - August 2006