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I don't know what Dirt 2 is, but it may have recorded your audio or video into a format that the program is having trouble reading.
It could also be that the program hasn't had a chance to interpret the file yet. When you bring an MPEG or DVD file into Premiere Elements, it needs to process and interpret the file -- a process that can take 5 minutes or so, depending on the length of the clip. Once it's done doing that, the clip should play fine (assuming you're using the project preset for DVD/Hard Drive Camcorder).
I gave it time and its still marked as a audio file, there are like 9 .vob files all have a different thumbnail of the video, the second one imports as only audio even though I can play it as a video on VLC or Media player. Since I imported it I have two files where I put the videos marked VTS_01_2.aindex and VTS_01_2.vindex if that helps.
This ARTICLE will give you the background on .VOB files from a DVD-Video. If the files are 100% DVD-compliant (very important), then PrE can Import and edit with them. If not, the best that you can do is convert these files to DV-AVI Type II w/48KHz 16-bit PCM/WAV Audio. The method of conversion can differ, depending on your hardware and your software.
For non DVD-compliant .VOB's, I just use my DVD player, hooked up to my A-D capture board and capture to DV-AVI Type II's for Import and editing in PrE, just like I would do for VHS tapes. One could also use a miniDV tape video camera, hooked up via FireWire. One would not have "device control," but can easily start the Capture, and then turn on the DVD player. For me, it's a mouse in one hand, and the DVD remote in the other.
I've encountered .vindex and .aindex files recently myself.I record services at church unto a DVD-R. I take the disk home, copy the proper VOB files to my computer for editing with PrE 4. Other than losing .5 second worth of data between the files because of Interframe compression, I had no troubles for over a year.The recorder I was using died, so I brought in my own while a new recorder could be shipped in. No problems, until the new recorder came in.It was shortly found out that as the VOB files were 'loaded' into PrE for editing, .vindex and .aindex files were created for two out of the three VOB files. After editing, I'd burn a final DVD. The VOB files that acquired these .vinded & .aindex files were the portions in the final DVD that had jittery video. And not only jittery video but the audio and video are out of sync with one another in the middle VOB file. The jittery video appears to be from interlace issues.I have used three different recorders, a few different types and brands of DVDs (for both recording rough and final disks), cables, computers, cameras, operating systems, reinstallation of PrE but yet, these .index files appear and have given me the jittery video on final DVD.I have since learned that when I find which VOB files are going to be troublesome, I open the Field Options window and click, Interlace Consecutive Frames. (The default is, none, which is fine when a VOB file didn't acquire an .index during 'loading' into PrE. Of course, clicking upon, Interlace Consecutive Frames, causes the video within PrE to be jittery but is fine after the final DVD is burned.Why are these .vindex & .aindex files being created? I haven't a clue. Why do these index files appear only for two out of the three VOB files and not ALL of them (though one time, out of the last 10 or so recordings, it did happen to all the VOB files).