In a bowl, beat cream cheese, butter and sugar until fluffy. Add eggs, one at a time, beating well after each. Add vanilla. Combine 2 cups flour and baking powder; gradually beat into batter. Combine pecans, cherries and remaining flour; fold into batter. Pour into a greased and floured 10-in. fluted tube pan.
Bake at 325° for 1 hour or until a toothpick comes out clean. Cool 10 minutes; remove from pan to a wire rack to cool completely. Combine confectioners' sugar, milk, vanilla and salt; drizzle over cake. Garnish with cherries.