Converting h.264 files for editing

When you convert h.264 files to edit, does it matter if you convert them to apple intermediate codec or prores? I'm going to export the finished project back to h.264 anyway so I just wanted to know if it made a difference, and what the advantages and disadvantages of converting the footage to either of those two codecs are. Thanks.

>Why won't the exported h.264 have the same settings as the original h.264?
Because the camera records H.264 with a bunch of settings that are specific to that camera. I guess that you can try to match those settings when you export...but to what end? Where will you show your work? How will it be displayed? YouTube/Vimeo doesn't play back video with that high of an H.264 data rate.  Nor does DVD...BluRay has it's own spec. 
The question is...what will you be exporting to for delivery...for final viewing?  You'll be exporting a ProRes 422 as your master source...but then encoding from that the formats you need to deliver. Unless you plan on playing back in the camera, or via a laptop onto a projector...you won't be going back to that original spec.
>And if I converted the h.264 footage to prores for editing, and then exported it with prores, will that finished project be higher quality than the original h.264 footage?
Higher data rate...yes. But it will have gone through one layer of compression. But very good, low loss quality. Your eye really won't see the difference. But it will be better suited for editing and color correction...as H.264 is 8-bit 4:2:0 color space, and ProRes is 10-bit 4:2;2.  It will be in better condition for editing and grading, but quality...about the same, ever ever EVER so slightly less quality. Nothing you'd notice.

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