Engine braking vs. service brakes - depends on how the vehicle is equipped. If you don't have ABS, engine braking is usually somewhat less aggressive than normal service brakes, so less likely to break the tires loose. However, a working ABS system will generally do a better job of keeping the wheels turning and thus not slipping than even engine braking. Also, if you drive an automatic, it's a lot faster to release the brake pedal to regain control than to shift the automatic into a less aggressive braking mode if your wheels do start breaking loose. Personally, with ABS I recommend leaving the tranny in drive, use a soft touch on the brake pedal, and let the ABS do its thing if you accidentally brake too hard.
In some cases putting the transmission into neutral is beneficial. That's especially true in a 2wd, because the rear wheels will keep pushing due to the torque converter while the fronts totally lock up and cause you to lose steering. Shifting into neutral will make a huge difference in that situation.
One caveat to ABS is "ice mode" that will sometimes activate in very slippery conditions. I've run into it twice this winter, and it's annoying. If it thinks you are on ice it will stop extremely slowly. If you get back on pavement with traction after the patch of ice it takes a second or two to realize it, meanwhile you are heading towards an intersection way too fast.
It also sometimes doesn't allow enough wheel lockage on snow to let the tires bite in, on some snow conditions. For example, recently I was driving on a dirt road that was plowed but had some snow left on it. There was a narrow bridge with another vehicle coming across, so I started to stop with what I thought was plenty of distance. I guess I braked a bit too hard because ice mode kicked in, and it took my about 3x as long as I expected to stop (and I already knew it was slippery), and I almost didn't stop in time. I didn't get out to look at the road surface, but maybe worst case it was packed snow polished by people driving on it. Even then, I feel like if it had let the wheels lock up a little more the tires could have dug in a bit to stop me faster.
I think Ice Mode has been discussed in another thread somewhere.
Good winter tires will help because they have more traction, and they help keep the ABS from coming on so much.
I have Michelin LTX M/S2, and I've started to realize that they are OK but not great in the winter.
I caused a front wheel skid in my old 2WD car by downshifting to engine brake, and it was terrifying for a moment. Luckily the automatic transmission shifted back up quickly. I don't know if it would have settled down eventually, but I didn't want to wait to find out. The car had no VSC so it would have been easy to spin out.
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