Place bread cubes in a greased 1-quart baking dish.
In a saucepan, heat milk, sugar, butter and salt over low heat just until butter melts. In a bowl, beat eggs; whisk in warm milk mixture. Stir in vanilla extract. Pour over bread. Place baking dish in a shallow pan of hot water. Bake, uncovered, at 350° F for 40 to 45 minute or until a knife inserted 1 inch from the edge comes out clean.
Combine sugar, cornstarch and salt in a saucepan. Stir in water and lemon peel; bring to a boil. Cook and stir for 2 minutes. Remove from the heat; stir in butter, lemon juice and food coloring.
Serve warm or cold with the pudding. Refrigerate leftovers.
Makes: 4 to 6