Smoothing is an important part of spectrum unfolding by the FERDOR method. This unfolding method is discussed, and changes to the smoothing procedure are presented. An iterative procedure for determining window widths has also been added to the method. This iterative procedure optimizes the energy resolution of unfolded spectra. A plutonium-beryllium neutron spectrum is unfolded as an example of the improvement obtained in unfolded spectra. Response matrices available for use with the FERDOR method are discussed.