Place six (6-ounce) custard cups or souffle dishes in a 13" x 9" x 2" baking pan; set aside. Beat first 4 ingredients with a wire whisk until thick and pale; set aside.
Bring half-and-half to a simmer in a small heavy saucepan; remove from heat. Gradually stir about one-fourth of half-and-half into yolk mixture; add to remaining half-and-half, stirring constantly with a wire whisk. Stir in bourbon.
Spoon custard mixture evenly into custard cups.
Add water to baking pan to a depth of 1".
Bake, uncovered, at 325 for 45 minutes or until a knife inserted in center comes out clean.
Remove custards from water. Cool completely on a wire rack. Cover and chill 8 hours.
To serve, sprinkle custards with nutmeg, and top each custard with 3 Candied Cherries.
