Dissolve yeast and sugar in 1/2 cup warm water.
Combine milk, 1/4 cup water, shortening, honey, salt and wheat flour in food processor or bowl. Mix in yeast mixture, and let rest 15 minutes. Add bread flour, and process until dough forms a ball. Knead dough by processing an additional 80 seconds in food processor, or mix and knead by hand 10 minutes. Place the dough in a buttered bowl, and turn to coat. Cover the bowl with plastic wrap. Let dough rise for 45 minutes, or until almost doubled.
Punch down, and divide dough in half. Roll out each half, and pound out the bubbles. Form into loaves, and place in buttered 9x5 inch bread pans. Butter the tops of the dough, and cover loosely with plastic wrap. Let rise in a warm area until doubled; second rise should take about 30 minutes.
Place a small pan of water on the bottom shelf of the oven. Preheat oven to 375 degrees F (190 degrees C).