Preheat oven to 350º. Grease a 10-inch Bundt pan with 2 tablespoons of butter and dust with 1/4 cup of sugar; set aside.

Using an electric mixer, cream together remaining butter and sugar. Continue beating and add eggs one at a time. Once fully incorporated, gradually add 2 3/4 cups flour, baking powder and salt to mixture, beating until fully incorporated.

Dredge peaches with remaining 1/4 cup flour and fold into batter. Pour batter into prepared pan and bake for 1 hour and 10 minutes. Remove from oven and allow to cool.