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Installing the 4.01 update has been known to reset sequence settings.
Have a look through all your sequence settings and be sure they make sense for your project.
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Thats the 1st thing I tried, looking over other forums I guess I will and try and reinstall the software back to 4.0.0 tomorrow morning. Its a real bummer I have clients in 1st thing working on the AVCHD project.
Update: I uninstalled 4.0.1 installed CS4 again and now I dont get any video or audio infact the AVCHD Presest have been wiped off the preset window??
It will not recognise any mpeg at all.
Thanks Jeff, that worked :)
Glad to hear it. You're welcome. :)