LW users have asked/begged Newtek a zillion times to support vertex smoothing.
There was even a petition on the forum, which got deleted (more then 600 people signed).
Modo (which kinda replaced LW for me) is said to support it in the upcomming 301. (betatesters told me, it hasn't been confirmed yet by Luxology).
Cinema4d DOES suport vertex smoothing. Kerkythea, a free renderer does support it as well. So exported objs's look great in it as well.
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