Aerodynamic shape optimization was performed on an isolated axisymmetric plug nozzle sized for a supersonic business jet. The dual-stream concept was tailored to attenuate nearfield pressure disturbances without compromising nozzle performance. Adjoint-based anisotropic mesh refinement was applied to resolve nearfield compression and expansion features in the baseline viscous grid. Deformed versions of the adapted grid were used for subsequent adjoint-driven shape optimization. For design, a nonlinear gradient-based optimizer was coupled to the discrete adjoint formulation of the Reynolds-averaged Navier- Stokes equations. All nozzle surfaces were parameterized using 3rd order B-spline interpolants and perturbed axisymmetrically via free-form deformation. Geometry deformations were performed using 20 design variables shared between the outer cowl, shroud and centerbody nozzle surfaces. Interior volume grid deformation during design was accomplished using linear elastic mesh morphing. The nozzle optimization was performed at a design cruise speed of Mach 1.6, assuming core and bypass pressure ratios of 6.19 and 3.24, respectively. Ambient flight conditions at design were commensurate with 45,000-ft standard day atmosphere.