Season chicken breasts with salt and pepper on both sides. Set aside.
Saute bacon in large skillet over medium heat until lightly browned, about 3-4 minutes. Transfer to a bowl.
Add olive oil to pan, place chicken pieces in a single layer. Saute until nicely browned on both sides, about 3-4 minutes per side; transfer to a plate and cover to keep warm.
Season generously with salt and pepper and brown well for deeper flavor
Add mushrooms, shallots and garlic to skillet; sauté until brown, about 4 minutes.
Add wine, 1 ¼ cups broth, bacon, thyme, tomato paste and 1 tablespoon parsley. Bring to a boil, stirring occasionally. Add chicken pieces, bring to a simmer, then lower heat and cook, covered, for 15 minutes.
Meanwhile, mix four with ¼ cup broth, stirring until smooth. Add flour mixture to sauce. Cook until sauce thickens, 3-4 minutes. Season to taste with salt and pepper. Arrange chicken on platter; spoon sauce over chicken and garnish with parsley.