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The Denver Nuggets have exercised the fourth-year option on the contract of guard J.R. Smith and the third-year option on the contract of forward Linas Kleiza, team Vice President of Basketball Operations Mark Warkentien announced today.

Smith was acquired by the Nuggets from Chicago in exchange for G Howard Eisley and two second-round draft picks on July 20. He averaged 14.4 ppg (second on team) while shooting .392 (20-51) from three-point range in eight preseason games. He has averaged 9.2 ppg and 2.0 rpg in 131 games during his first two seasons.

Kleiza averaged 13.9 ppg (third on team) and 3.9 rpg in eight preseason games. He appeared in 61 games for the Nuggets as a rookie last season, averaging 3.5 ppg and 1.9 rpg. Originally the 27th overall pick of the 2005 NBA Draft, he was acquired by the Nuggets on draft night from Portland, along with the 35th pick in the 2005 draft, in exchange for the draft rights to Jarrett Jack.

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