The Washington Bullets and Denver Nuggets, who held lengthy discussions last summer on a trade, reportedly are again discussing a deal.

Pete Babcock, the Nuggets' director of player personnel, and Denver assistant coach Allan Bristow were at last night's exhibition game between the Bullets and Los Angeles Lakers. Earlier this week, Washington General Manager Bob Ferry flew to Denver to watch the Nuggets in an exhibition game against Chicago.

"He said he was in the neighborhood and didn't have anything else to do," said Babcock. "When I got here, I told him the same thing."

At the time of the college draft last June, the teams were close to negotiating a deal involving the Bullets' Jeff Malone and Jay Vincent and possibly guards Michael Adams and/or Tyrone Bogues. Denver was reportedly willing to give up second-team all-NBA guard Lafayette Lever and forward/center Dan Schayes.

The earlier discussions fell through when the Indiana Pacers, picking one spot before the Bullets in the draft, selected UCLA guard Reggie Miller, the player Washington wanted to replace Malone. Since then, said Babcock, the Nuggets' needs have changed somewhat.

The Bullets' focal point would appear to be Lever, whom Babcock said was the Nuggets' "most marketable player." However, for Denver to trade the guard, they would have to be assured of a replacement. That would likely be Adams or Bogues.

"{Denver Coach} Doug {Moe} has always had a thing about short, quick guards," said Babcock. "He's always had a thing for Bogues. We're curious to see him out on the pro court instead of the college game."

Babcock said that since the teams' original deal fell through last summer, talks between the two have been "on again, off again. We thought we had something equitable then, but it fell through. Since then, we've talked about this guy for that guy or those two for these two and stuff like that . . ."

Although Ferry last night denied the Bullets were actively discussing any trades with Denver, Babcock reportedly was planning to travel to Richmond for tonight's game between the Bullets and New York Knicks.

According to NBA sources, another trade possibility involves the Bullets, Nuggets and Milwaukee Bucks. In that scenario, Malone would go to Denver, Schayes to Milwaukee and guard Ricky Pierce, last season's NBA sixth man of the year, would go to Washington.

Pierce, who is holding out while trying to renegotiate his contract with Milwaukee, was also part of the Bullets' trade talks last summer.