Grease 2 cookie sheets. Lightly spoon flour into measuring cup; level off. In large bowl, combine 2 cups flour, sugar, salt and yeast; blend well. In small saucepan heat water, milk and margarine until very warm (120 to 130 DF) Add warm liquid and egg to flour mixture. Blend at low speed until moistened; beat 3 minutes at medium speed. By hand, stir 3 cups of flour til dough pulls cleanly away from sides of bowl. On floured surface, knead in 1 to 2 cups flour until dough is smooth and elastic with blisters under the surface, about 10 minutes. Place dough in greased bowl; cover loosely with plastic wrap and cloth towel. Let rise in warm place (80-85 F) until light and doubled in size, about 1 hour.
Punch down dough several times to remove all air bubbles. Allow dough to rest on counter, covered with inverted bowl, for 15 minutes. In small bowl, combine 1/3 cup sugar and cinnamon; set aside. Divide dough into 3 pieces. On lightly floured surface, roll each piece of dough to 25x6 inch rectangle. Spread each with 1 tablespoon margarine. Sprinkle with sugar-cinnamon mixture. Starting with longer side, roll up tightly; pinch edges to seal. Twist each roll stretching slightly. Form into pretzel shape; tuck ends under to seal. Place on prepared cookie sheets. Cover; let rise in warm place until doubled in size; about 45 minutes. Heat oven to 350 degrees Bake 20 to 30 minutes or until deep golden brown. Immediately remove from cookie sheets. In small saucepan, combine glaze ingredients. Bring to boil, stirring constantly. Slowly spoon hot glaze over warm breads, completely covering tops and sides.
3 coffe cakes; 16 servings each.