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1. Place basil leaves, walnuts, Parmesan cheese, Romano cheese, and garlic in a food processor bowl or blender container. Cover, and process or blend until paste begins to form, stopping the machine several times to scrape the sides. With machine running slowly, gradually add olive oil, and blend or process until consistency of soft butter. Add salt and pepper to taste. Cover and chill 1/4 cup of the pesto for another use, such as to toss with pasta or spread over garlic toast.
2. Stir together the 2 cups flour, the baking powder, and salt in a medium mixing bowl. Cut in shortening with a pastry cutter or fork until mixture resembles coarse crumbs. Stir in olives. Make a well in the center of the dry mixture, and add milk all at once. Stir with a fork until mixture is just moistened.
3. Turn dough out onto a lightly floured surface. Quickly knead, by gently folding and pressing the dough 10 to 12 strokes or until it is nearly smooth.
4. Roll out dough to a 16x8-inch rectangle, and cut lengthwise into thirty-two 1/2-inch-wide strips. For each breadstick, twist two strips together. Place on an ungreased baking sheet. Bake in a 450 degree F oven for 10 minutes or until golden.
5. Meanwhile, bring shredded cheeses to room temperature; toss with the 3 tablespoons flour; set aside. Heat wine in a large saucepan over medium heat until small bubbles rise to the surface. Just before the wine boils, reduce heat to low and stir in cheese mixture a little at a time, stirring constantly and making sure the cheese melts before adding more. Cook and stir until mixture bubbles gently.
6. Transfer mixture to fondue pot. Spoon 3/4 cup of the pesto in spiral pattern on top of cheese mixture; gently cut through cheese to marble. Keep mixture bubbling gently over a fondue burner.
7. Serve with warm bread sticks and/or cherry tomato halves, fresh snow peas, Belgian endive leaves, french-fried potatoes, or other vegetables for dipping. Makes 2 cups (16 servings).(Nutrition facts include 1 bread stick per serving.)