The Warriors reached an agreement to sign free agent guard Jannero Pargo, his agent confirmed.

Pargo — a 6-foot-1, 185-pound combo guard entering his eighth season — gets a two-year deal at the veteran minimum, which totals just over $2.4 million ($1.15 million this season, $1.27 million 2010-11). The deal will be announced next week, according to his agent, Mark Bartelstein.

The Warriors basically swapped backup guards with Chicago. Golden State signed and traded C.J. Watson to the Bulls last week. Watson's departure left the Warriors in need of a veteran backup behind starting point guard Stephen Curry.

Pargo, 30, isn't as consistent a shooter as Watson. Last season with Chicago, he shot 34.8 percent from the field (27.5 percent from 3-point range) while averaging 5.5 points in 13.2 minutes. His 1.4 assists per game were his lowest since his rookie season.

But Pargo has playoff experience, going three times with Chicago and once each with Lakers and Hornets, and plays his best in an up-tempo system. And Pargo is cheaper than Watson, who signed a three-year deal for $10.2 million before the trade to Chicago.

Pargo's signing comes a week after the Warriors locked up undrafted rookie Jeremy Lin, a Palo Alto native. Both are expected to compete for the 10 or so minutes available behind Curry. But Pargo's presence should allow the Warriors to be patient with Lin, who might not be ready to play a healthy chunk of minutes at the NBA level just yet.

Pargo's best years came in during a two-year stretch with New Orleans. He averaged 9.2 in 2006-07 and 8.1 points in 2007-08 while backing up, and even playing alongside, starting point guard Chris Paul.

Pargo spent 2008-09 playing in Russia and in Greece before returning to the NBA last season.