In a microwave-safe 4-cup glass measure, combine milk, sugar, vanilla, the 1/2 teaspoon orange peel, and the nutmeg, stirring to dissolve sugar. Microwave, uncovered, on 100-percent power (high) for 2-1/2 to 5 minutes or until steaming and foamy but not boiling** (about 180 degrees F), stirring once.

Gradually stir all of the hot mixture into egg. Pour into four 6-ounce microwave-safe custard cups set in a microwave-safe 2-quart square baking dish.

In the same 4-cup glass measure, heat the water, uncovered, on 100-percent power (high) about 3 minutes or until boiling. Pour the boiling water into the baking dish around the custard cups.

Microwave custards, uncovered, on 100-percent power (high) for 4 to 7 minutes or until edges are set but centers still quiver, carefully rotating the cups after every minute and removing each custard when edge is set. Remove custards from baking dish.

Let stand, uncovered, on a wire rack about 15 minutes or until centers are set.

Serve warm or chilled. To serve, if desired, unmold custards onto four dessert plates. If desired, garnish with additional shredded orange peel. Makes 4 servings.

If using a sugar substitute, we recommend Splenda Granular, Sweet 'N Low packets, or Sweet 'N Low bulk. Be sure to use package directions to determine product amount equivalent to 3 tablespoons sugar.Nutrition Facts with sugar substitute: 57 cal., 0 g total fat (0 g sat. fat), 2 mg chol., 129 mg sodium, 7 g carbo., 0 g fiber, 8 g pro. Exchanges: 0.5 milk, 0.5 very lean meat. Carb choices: 0.5

Watch closely as mixture will foam up if cooked too long.