MTS files are HiDef, a DVD is Standard Definition... so you are losing a great deal of the video resolution when you go from HD to SD
Try exporting from Premiere Pro to an SD file and then import that file into Encore for authoring
I go from MTS to Widescreen DV AVI and have Encore use automatic transcoding, other people like to use the MPEG-DVD setting when they export from PPro
Thank you John. I guess my question now is, I can go from Premiere sc5.5.2 and Dynamic link to Encore SC5.5 with my dv avi files all working great. I've been fighting for three months to try and see why the mts files work great in premiere but won't let me Dynamic link a mts project to Encore without giving me fussy video.
Do you know if Encore CS5 or CS6 is capable of playing back clear and smooth video sent Dynamicly linked from a Premiere Cs5 Project Sequence?
Maybe there is some setting in Interpret Footage setting in Encore that can be used to help?