Can Final Cut Express read MPEG-2 format from a Sony HDD Handycam?

I have just recently switched from PC to Mac and generally I couldn't be happier, however I recently bought the latest Sony Hard Disk Drive Handycam and it records to the HDD in MPEG-2 format. VLC will play the files but I am after software that will alow me do do some basic editing and burning to DVD. I don't want to spent the AUD$2000 on DVD Studio and was wondering if anyone knows whether Final Cut will do the job for me?

I have also switched from PC to Mac.
Generally the MPEG-2 format is a poor choice to edit in independently if you have PC or a Mac.
If you want to put MPEG-2 files a DVD you can use the program "Toast".
It will accept the MPEG files as source files when you create a DVD, but you can not do any editing.
Another option is to convert the MPEG files to AVI by using a conversion program. Search for one on the internet.
iMac Intel Dual Core, 500gb HD, 1G RAM   Mac OS X (10.4.7)  

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