Baked Cheese Grits

4 cups water
1 1/2 tsp. salt
1 cup quick-cooking grits
1 1/2 cups shredded Cheddar cheese
2/3 cup milk
2 Tbls. butter
1/4 tsp. ground red pepper or cayenne
4 eggs, lightly beaten
1/2 tsp. paprika

Preheat oven to 350 degrees. Bring water and salt to boiling in a large saucepan; stir in grits. Return to boiling. Cover, reduce heat and simmer for 5 minutes, stirring occasionally. Remove from heat. Add cheese, milk, butter and ground red pepper. Add eggs, stir well. Spoon mixture into lightly greased 2-quart casserole; sprinkle with paprika. Bake 1 hour or until thoroughly heated and lightly browned. Let stand 5 minutes before serving. Enjoy!