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In a saucepan over medium heat, bring milk, water and shortening to a boil. Meanwhile, combine 2 cups oats, brown sugar and salt in a bowl. Add milk mixture; let stand until mixture reaches 110°-115°. In a small bowl, dissolve yeast in warm water; add to oat mixture. Add 3 cups flour; beat until smooth. Add enough remaining flour to form a soft dough.
Turn onto a floured surface; knead until smooth and elastic, 6-8 minutes. Place in a greased bowl, turning once to grease top. Cover and let rise in a warm place until doubled, about 1 hour. Punch dough down; divide in half. Shape into 2 loaves; transfer to greased 8x4-in. loaf pans. Cover and let rise until doubled, about 40 minutes. Preheat oven to 350°.
Brush loaves with egg; sprinkle with remaining 2 teaspoons oats. Bake until golden, 35-40 minutes. Remove from pans; cool on wire racks.