Roll 1 sheet puff pastry to 14x10-inch rectangle on floured surface. Combine cream cheese and granulated sugar in small bowl. Spread half of cream cheese mixture over puff pastry, leaving 1-inch border on 1 long side. Sprinkle with 1 cup morsels. Roll up, starting at long side covered with cream cheese. Seal edges by dampening with water. Repeat with remaining ingredients. Chill for 1 hour. Cut rolls crosswise into 1-inch thick slices. Place cut side up on parchment paper-lined or lightly greased baking sheets.
Bake in preheated 375 oven for 20 to 25 minutes or until golden brown. Let stand for 2 minutes; remove to wire racks to cool completely. Makes about 2 dozen cookies.