the smoothing is not related to UV - that is a separate thing if You dont want to put too much work i suggest using that script i've mentioned above. the results will be much better right away.
Oh god please use some smoothing control. Right now it's hard to tell what is the geometry because of that 180' smooth. Either set smaller smoothing angle or use FWN script: http://www.polycount.com/forum/showthread.php?t=85809