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To prepare soup: Scatter butter in a 6- to 7-quart slow cooker. Add oil, thyme, garlic and bay leaf, then onions. Sprinkle with salt and pepper. Cover and cook on High for 8 hours.
Bring broth and sherry to a boil in a saucepan. Remove the thyme sprigs and bay leaf from the slow cooker. Pour in the broth and cook on High, uncovered, for 10 minutes.
To prepare cheese toasts: Meanwhile, position rack in upper third of oven; preheat broiler to high. Top each baguette slice with 2 tablespoons cheese. Broil until the cheese is melted, 1 to 2 minutes. Divide the soup among 8 bowls. Top each with a cheese toast.