Score surface of the ham, making diamond shapes 1/2 in. deep; insert a clove into each diamond. Place on a rack in a well-greased foil-lined roasting pan. Pour soda over ham. Spread 1 cup brown sugar over ham. Add water to pan. Cover and bake at 325° for 1-1/2 to 2 hours.
In a large saucepan, combine the preserves, butter, honey, mustard, Liquid Smoke if desired, ground cloves and remaining brown sugar. Cook and stir over low heat until butter is melted and sugar is dissolved. Uncover ham; brush with glaze.
Arrange the pineapple slices and peach halves over ham, securing with wooden toothpicks. Bake, uncovered, for 25-30 minutes or until a thermometer reads 140° and ham is heated through. Discard toothpicks before carving.