Cook 2 cups macaroni in boiling water. Drain. Beat 1 egg in 2 1/2 quart casserole. Add 2 cups milk, 1 teaspoon salt and 1 teaspoon sugar. Add 1 to 1 1/2 pounds cheddar cheese, cubed. Add macaroni and enough milk to cover. Bake at 350 degrees for one hour and 45 minutes.