Compressor 3.0.5 wont use Quad core on iMac

I am compressing HD footage down to SD dvd files so that i can put them on DVDs. I have all the batches running currently on my iMac 27'' 2.8 Quad Core.
When I look at the processor usage on iStat Pro, it says that I am only using 46% of my processor power.
Currently it is taking hours and hours to complete this project. And when I tested the video on my MBP Duel Core it processed at the same speed as the iMac. Something is wrong with this picture. Do i possibly need version 3.5...?
slfusion

No. looked for Clusters the other day, but figured i shouldn't waist my time if they just did what compressor does. Perhaps i should have searched deeper.

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