Homemade Mac and Cheese

1 8 oz package dried elbow macaroni
1/4 cup butter or margarine
1/4 cup all-purpose flour
2 cups milk
1 teaspoon salt
1/8 teaspoon black pepper
1 cup (4 oz) shredded sharp cheddar cheese
1 cup (4 oz) shredded mild cheddar cheese

Cook macaroni according to package directions, omitting salt. Drain and set aside.

Melt butter in a heavy saucepan over low heat; add flour, stirring until smooth. Cook 1 minute, stirring constantly. Gradually add milk; cook over medium heat, stirring constantly, until thickened and bubbly. Add a little extra milk if necessary. Stir in salt and pepper and cheese, stirring until the cheese melts.

Stir macaroni into cheese sauce, and pour into a lightly greased 2-quart baking dish or an 11- x 7-inch baking dish. Bake, uncovered, at 350 degrees for 25 to 35 minutes or until bubbly. Let stand at least 5 minutes before serving.