Compress MPEG for Toast

I exported some video through Eye TV using the export/for Toast option, which I have done successfully in the past. This time the MPEG file turned out to be 3.36 GB, when I try to burn to DVD with Toast 6 Titanium I receive an error message that the file is too large. Is there any way to export the MPEG and create a video_ts file that I can use Popcorn to compress and burn or simply compress the file to a size that Toast can manage? I really don't want to split the movie into two parts.
Thanks

When I played through Eye TV and exported, the option I usually use if "for Toast" and this is what is stated:
"Creates a file suitable for burning with Toast. For MPEG- 1/2 content a program stream will be created. For MPEG-4 or DivX content an AVI file will be created.
Video: MPEG, 720 x 480, 29.97 fps
Audio: MPEG, Stereo, 48000 Hz
Duration: 1:52:04, Estimated Size 3.5 GB (552 KB/sec)"
I am using Toast Titanium 6, (I have been putting off updating software as I am likely to own on of the Intel Macs later this year and do not want to spend a bundle on software that may be incompatable, maybe being a bit over cautious).
1.8 sp pm, pro mac 9800, 1.25 gig ram     eye tv, Lacie Lightscribe, ACOM external

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