Best file converter for .mpg to .mov

I am trying to import movies in .mpg format to iMovie 11 which requires a .mov format.  I want a free file converter that won't sacrifice the video quality.

If your movies are MPEG1, then MPEG Streamclip will convert them for free.
If your movies are MPEG2, you may also need the Apple QuickTime MPEG2 Playback Component, which is $20 from Apple. MPEG Streamclip will tell you if you need this.
Drag the MPG file into MPEG Streamclip. Click the play button to ensure that it plays and all is well. Then use FILE/EXPORT TO QUICKTIME and choose a codec for your needs. I recommend Apple Intermediate Codec.
Detailed Instructions....
Get MPEG Streamclip, which is free.
You may also need the Apple QuickTime MPEG2 Playback Component for $20.
Follow the instructions on the MPEG Streamclip website for installing the Apple QuickTime MPEG2 Playback Component. Here are those instructions for Mountain Lion and Lion as of 2012-11-05...
The installer of the MPEG-2 Playback Component may refuse to install the component in Lion and Mountain Lion. Apple states the component is unnecessary in Lion and Mountain Lion, however MPEG Streamclip still needs it.
To install the component in Lion or Mountain Lion, please download MPEG Streamclip 1.9.3b8 betaabove; inside the disk image you will find the Utility MPEG2 Component M. Lion: use it to install the MPEG-2 Playback Component in Lion or Mountain Lion. The original installer's disk image (QuickTimeMPEG2.dmg) is required.
The current versions of MPEG Streamclip cannot take advantage of the built-in MPEG-2 functionality of Lion and Mountain Lion. For MPEG-2 files you still need to install the QuickTime MPEG-2 Playback Component, which is not preinstalled in Lion and Mountain Lion. You don't have to install QuickTime 7.
If your security settings will not let you run UTILITY MPEG2 COMPONENT M.LION, then you can override the security by
1.  Hold down "control" button
2.  Click on the app that is triggering the message about the security preferences
3.  Select "open" to override and install/open the application
For more on the security settings see this document.
http://support.apple.com/kb/ht5290

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