Cheese Bread Pudding

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8inch long French or Italian bread cut into 1/2-inch thick slices

1 cup milk

2 cups tomato sauce, fresh or jarred

8 ounces to 1 pound grated or sliced Fontina or Mozzarella cheese

4 ounces smoked black forest ham, torn into strips

4 eggs, lightly beaten

1/4 cup freshly grated Parmesan cheese

2 tablespoons butter cut into pieces

Salt and freshly ground black pepper