For sauce, in a large saucepan or skillet, bring water to boiling. Add red wine, white wine, brown gravy mix, onion, and pimiento. Cook, stirring occasionally, about 5 minutes or until thickened.
Remove from heat; stir in mushrooms and sugar. Cook and stir for 1 to 2 minutes more or until mushrooms are tender. Cover; keep warm.
In a small bowl, stir cracked pepper and garlic powder together. Rub into both sides of each steak.
In a large, heavy skillet, heat olive oil over medium-high heat. Add steaks. Reduce heat to medium and cook to desired doneness, turning meat after half the cooking time. [Allow 5 to 7 minutes for medium-rare (145 degree F) or 7 to 9 minutes for medium (160 degree F].
Serve the steaks with sauce on 4 warm plates. Makes 4 servings.