2 lbs. yellow squash (or yellow and zucchini mixed), cut into 1/4 inch slices
1/2 c. water
1/2 tsp. salt
1 c. chopped onion
1 c. chopped green pepper
1/4 c. butter, melted
1 egg, beaten
1 c. shredded Cheddar cheese
1 can sliced water chestnuts, drained
2/3 c. mayonnaise
1/4 tsp. pepper

Combine squash, water and salt in a medium saucepan. Bring to a boil. Cover. Reduce heat and simmer 10 minutes or until squash is tender. Drain well and set aside.

Saute onion and green pepper in butter until crisp tender combine vegetables and remaining ingredients; spoon into a lightly greased 12 x 7 x 2 inch baking dish. Bake at 350 degrees for 30 minutes or until bubbly.

NOTE: To make ahead prepare as directed but do not bake. Cover and chill up to 2 days. Remove from refrigerator; let stand 30 minutes. Bake as directed.