Paul, thanks for the quick reply. I KNEW I should have just used the trial software until i was sure it worked. The HDV MPEG2 files you referenced; what resolution is that? I can open the clips with the Sony software and then save in an MPEG format of some kind. I'm thinking it is 720p or lower, though. Do you think PE5 or 6 may incorporate the ability to edit AVCHD files?