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Your first problem will be the Xvid CODEC. If you can get back to the PowerPoint presentation and Export out as something that is not so highly compressed, I strongly recommend doing so. The Audio being MP3 might cause a problem, too. Some MP3's cause no problem, but some do. The 44.1KHz sample rate should not be an issue, as Premiere can convert from 44.1 to 48 as part of its conforming operation.
If you cannot generate an AV file, without the Xvid CODEC, you should look into a conversion program. Now, if PE2 will Open the file, you should be able to Export in a converted format. I'd look to a CODEC like Lagarith. It is "virtually" lossless and quite good. Another is Huffyuv.
Exactly why PE2 has not problems, and PE7 does is a mystery.
Still, I would not use Xvid and not use MP3 Audio.
Thanks for the tips, Bill. The PPT2DVD only offers Xvid and MP3 CODECs for the export. I used Prism to convert to avi using both Lagarith and Huffyuv. That solved the import problem into PE7 but the quality is much lower than the original. For instance, I can open the avi file created by PPT2DVD in Win Media Player and read all the names on a map. After conversion, the same file is over 100 times larger (33MB v 5GB) and the names are slightly blurred. Upon import to PE7 they are even more blurred in the monitor window and in the DVD preview window. Can this be solved?
More info: My goal in this project is to move a line across a map with popup bubble names of tourist sites. I have read in Grisetti/Engels's book on how to do it directly in PE. I already had the project done in Powerpoint and hoped to use that rather than recreate. Thanks again.
The first quality hit is taken when the camera compresses to MPEG-2. That is as good as it will get. I do not know Prism, but both the Lagarith and Huffyuv are great "almost lossless" CODEC's.
First thing to look at is have you done a Render in PE. What one gets, when non-DV-AVI footage is Imported is just a replica of the footage. Rendering will provide you with a better look at quality (set the WAB [work area bar] to the part that you wish to Render, or leave to Render all of the Timeline, then hit Enter). Next set your Monitor Panel in PE to 100%, as Fit will often not yield the best results. Last, I'd test burn a DVD RW (so you can reuse it) and look at the actual output on a TV with a set-top player.
The biggest problem with Xvid compression is the amount of compression used. It is a delivery CODEC and not an editing one. Again, once the compression has been done, you can never reclaim the lost data.