Dissolve yeast  in 1/2 cup of the water . In a bowl, combine the remaining water, salt, honey, molasses, whole wheat flour, bread flour and powdered milk. Stir in the dissolved yeast. Mix well then knead until smooth and elastic.  

Add in the butter whole kneading the dough. Transfer dough to a greased bowl and let it rise until double in bulk.  

Punch down dough then divide into two portions. Shape into loaves (as in White Bread) then put in greased 9x5 inch loaf pans. Let it rise until dough reaches the rim of the pan. Bake in a preheated 375F oven.