In a shallow dish, combine the first 7 ingredients. In a shallow bowl, beat egg and milk. Dip chicken pieces into egg mixture, then place in flour mixture, a few pieces at a time, and turn to coat. , In a large skillet, heat 1/4 in. oil; fry chicken until browned on all sides. Cover and simmer for 35-40 minutes or until juices run clear and chicken is tender, turning occasionally. Uncover and cook 5 minutes longer. Drain on paper towels and keep warm. Drain skillet, reserving 3 tablespoons drippings. , For gravy, in a small bowl, combine the flour, salt, thyme and pepper. Gradually whisk in milk and cream until smooth; add to skillet. Bring to a boil over medium heat; cook and stir for 2 minutes or until thickened. Serve with chicken.