In medium bowl, combine potato flakes, cheese, flour, bouillon, cilantro and baking powder; mix well.
In small bowl, beat egg with fork. Stir in milk and salsa. Add to potato mixture; stir just until combined. Let stand 2 to 3 minutes or until liquid is absorbed.*
Melt margarine in large nonstick skillet over medium-high heat. Drop potato mixture by 1/2 cupfuls into skillet. Spread each to form 4-inch round. Cook 4 to 6 minutes or until golden brown, turning once. Serve warm.