Step 1: Combine the first 4 ingredients in a large bowl, stirring well. Add the peaches. Toss gently.
Step 2: Arrange the peach mixture in the bottom of a 13x9x2 inch baking dish. Dot with 2 tablespoons butter.
Step 3: Combine 1 cup flour, 1 cup sugar, baking powder and salt. Stir well. Add egg, and stir well. Sprinkle the crumb mixture evenly over the peaches. Drizzle 1/3 cup butter over the crumb mixture. Sprinkle with ground cinnamon.
Step 4: Bake uncovered, at 350° for 35 to 40 minutes or until golden brown. Serve with whipping cream or vanilla ice cream.
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