In a large bowl, dissolve yeast and 1 teaspoon sugar in warm water. Add butter, milk, egg, salt, remaining sugar and 2 cups flour. Beat until smooth. Stir in enough remaining flour to form a soft dough.
Turn onto a floured surface; knead until smooth and elastic, about 6-8 minutes. Place in a greased bowl, turning once to grease the top. Cover and let rise in a warm place until doubled, about 1 hour.
Punch dough down. Turn onto a lightly floured surface; divide in half. Roll each portion into a 12-in. circle; cut each circle into 12 wedges. Roll up wedges from the wide end and place point side down 2 in. apart on greased baking sheets. Curve ends to form crescents. Cover and let rise in a warm place until doubled, about 30 minutes.
Preheat oven to 350°. Bake 10-12 minutes or until golden brown. Remove from pans to wire racks.Yield: 2 dozen.