Guys, Still scratching my head. Need some input. Used to shoot videos with Sony HDR-XR500 on the highest resolution 1920x1080i. Would edit my .mts files using Power Director and export videos as AVCHD.264 files (ext. m2ts) in the original resolution. Would copy my final movies to a memory stick and enjoy them on my PS3. Loved the quality of the video as well as preserved 5.1ch sound. This year moved on to a new camera Sony HDR-XR500 that can shoot in 24P, 60i and 60p. Bought iMac (that came with iMovie'11) and appleTV. 1. I realized I could not import movies from the camera that were shot in 60p fps rate, so I switched to 60i instead. 2. During importation into iMovie I kept optimization to 960x520 (as suggested, i.e., promised little video quality loss) and after completing a project I exported video to iTunes using the same resolution 960x520, the maximum allowed resolution for appleTV, where i normally watch movies through now. Final verdict? Utter disappointment. Not only is the final video quality isn't even close from acceptable, lots of artifacts plus my audio was downgraded to 2ch from 5.1. I played around with the file importation from the camera and instead of "Large 960x520" I tried "Original size" and WOW, original file size (.mts) tripled after been converted to (.mov) after the importation, which is not what I expected nor desired. Also, even after trying to export video in iMovie as 1080p after being imported as 960x520 I saw no change in quality either. I assume it because iMovie simply stretched the movie from 520 to 1080? correct? I suppose this export option is only valid/applicable if the original files were imported as 1080? correct? Guys, any guideline will be appreciated... Thanks in advance.