PREHEAT oven to 375° F. Grease 13 x 9-inch baking pan.
COMBINE flour, baking powder and cinnamon in small bowl. Beat brown sugar, granulated sugar and butter in large mixer bowl until creamy. Beat in egg and water. Gradually beat in flour mixture. Stir in cereal, Raisinets and nuts. Spread into prepared baking pan.
BAKE for 12 to 15 minutes or until golden brown. Cool completely in pan on wire rack. Cut into bars.