Combine 1-1/3 cups flour, sugar, undissolved yeast and salt in a large bowl. Heat milk, water and peanut butter until very warm (120° to 130°F). Gradually add to flour mixture. Beat 2 minutes at medium speed of electric mixer, scraping bowl occasionally. Add 1/2 cup flour and peanuts; beat 2 minutes at high speed. Stir in enough remaining flour to make a soft dough. Knead on lightly floured surface until smooth and elastic, about 8 to 10 minutes. Cover; let rest 10 minutes.
Divide dough into 2 equal portions; roll each to 12 x 7-inch rectangle. Beginning at short end, roll up tightly. Pinch seam and ends to seal. Place, seam side down, in 2 greased 8-1/2 x 4-1/2-inch loaf pans. Cover; let rise in warm, draft-free place until doubled in size, about 1 hour.
Bake in preheated 350°F oven for 25 to 30 minutes or until done. Remove from pans; cool on wire rack.