Your .PREL (the Project files) does not contain any media at all - only links to where that media was on your system. If you have moved, renamed, or deleted the media, PE cannot follow its links. Something has changed. Since you reference a VOB, did you do a Get Media from a DVD in the multi-drive? If so, you will need to put that DVD back into the drive, to work with that/those file(s). It's always better to copy over any media Assets to the computer's HDD, and then do the Get Media from there, not from a source, like a DVD.
Hope that this helps you.
If you Get Media from a DVD it does infact download it to the hard drive. As Hunt says it sounds like the file has been moved.
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Well, it depends on which Get Media option you use, Paul.
If you Get Media and select DVD, this will launch the Media Downloader, which does indeed rip the file from the disc to your hard drive.
But, if you select Get Media and then the PC Files and Folders option, you'll just create a link to the file -- and, if the DVD is removed from the drive, it will no longer be part of your project.
Very true Steve.