Halve the butter. On each of 2 pieces of waxed paper, spread 1 portion of butter to form an 8-inch square. Wrap and chill the butter portions.
In a mixing bowl, soften the yeast in warm water. Add sugar, warm milk, egg, salt, and lemon extract; mix well. Add 1-3/4 cups of the flour and beat until mixture forms a ball. Turn out onto a floured surface. Knead in the remaining flour until dough is smooth and elastic (2 to 3 minutes total). Cover and let rest for 5 minutes.
Roll out the dough to form a 12x8-inch rectangle. Place 1 square of chilled butter on 2/3 of a dough rectangle next to an 8-inch side. Fold uncovered 1/3 of dough over middle third. Then, fold opposite third over the top.
Next, form a 4-inch end of the rectangle, fold dough over middle third and fold opposite 4-inch end over the top, making a stack of layered dough. Cover and refrigerate the stacked dough for 30 minutes.
Repeat, rolling dough into a 12x8-inch rectangle. Top with remaining square of butter; fold into a stack as above. Cover and refrigerate 2 hours.
Prepare the Butterscotch Filling.
Cut the chilled dough in half; chill 1 portion. On a floured surface, roll out the remaining portion of dough, smooth side up, to form a 24x6-inch rectangle. (If dough is too elastic and hard to roll, cover and let rest for 5 to 10 minutes.) Spread half of the Butterscotch Filling lengthwise down center third of dough. Sprinkle with half of the pecans. Fold 1 of the 24-inch-long sides over filling; brush other side with water and fold over the top. Pinch the dough to seal well.
Transfer the filled dough to a greased baking sheet and shape into an oval. Seal ends together. Flatten dough slightly with hands. Repeat shaping with remaining dough. Cover the ovals of dough and let rise until a slight indentation remains in the dough when touched (about 1 hour).
Bake in a 350 degree F oven for 20 to 25 minutes or until golden brown. Remove from baking sheets and cool on wire racks. Drizzle with icing while warm. Makes 2 filled ovals.
In a mixing bowl, stir together packed brown sugar, salt, and ground cinnamon. Cut in butter. Add egg white and mix well.
In a mixing bowl, beat together powdered sugar and water.