Drain pineapple and cherries, reserving juice. Pit the cherries if they are not already pitted. Add lemon juice and water to syrup to make 3 1/2 C.. Heat to boiling. Dissolve gelatin in hot liquid. Divide into 2 equal portions. Chill one portion until partially set. Add pineapple pieces. Pour into an 8-inch square pan. Chill until firm. Add cream to softened cheese. Spread over gelatin. Chill until firm. Chill remaining gelatin until thick. Add nuts and cherries and put on top of cream cheese layer. Chill.