Thaw pastry sheet as pkg. directs. Preheat oven to 375. Spray baking sheet with cooking spray.
Mix cream cheese, 1/3 cup powdered sugar, egg yolk, and almond extract in large bowl. Beat with mixer at medium speed until smooth; set aside.
In another small bowl, beat egg white and water; set aside. On lightly floured surface, roll out pastry into 14 x 10 inch rectangle. Spread cream cheese mixture over dough to within 1 inch of edges. Sprinkle evenly with cherries.
Reserve 2 T. almonds; sprinkle remaining almonds over cherries. Starting with long side, loosely roll up dough jelly roll style. Place roll on baking sheet, seam side down.
Form into circle, pinching ends together. Using scissors, cut at 1 inch intervals from outside of ring toward but not through center. Twist each section half a turn, allowing filling to show. Brush top of ring with egg white mixture. Sprinkle with reserved almonds.
Bake 25 to 30 minutes or until light brown. Using large spatula, carefully remove ring to wire rack. Cool 15 minutes. Sprinkle with remaining 2 T. powdered sugar. Makes 1 coffee cake