Editing EX1 footage with Premiere!

I could not yet get a straight answer on the Adobe forums so I'll try again.
Up until now I used Cineform codec (Aspect) to edit HDV. I would import in Aspect, edit Aspect, and Export Aspect. All my rendered archive footage is in Aspect.
Fine... now here comes the EX1 with its EX1 files. (Let's call it EX1 codec).
I have two options:
(1) Either I use the old technique and stick with my Cineform Codec, make the conversions and edit in Cineform. (The advantage is that I can render AVI files which I can render back and forth from one program to the next or do color correction on it with minimal generation loss). This option would require me to purchase Cineform Prospect HD (for full HD resolution) and convert all my EX1 files prior to editing. It would also require me to edit in CS3 as Cineform is not yet compatible with CS4.
or
(2) I can edit the EX1 footage natively in CS4. This option would allow me to avoid the conversion hassle and having to purchase Prospect codec. However I don't see how I could render AVI files for going from one program to the next. Moreover I don't know what that means in stability or rendering speed and/or general processor handling capacity once I have 10 layers of footage to run. Also I don't know about color correction and the generation loss one can expect when doing it natively.
Does anybody have experience with this? I don't have any feedback and have not been able to make a decision on this yet.
Thank you for any help.

>Also I didn't hear you tell everyone you actually purchased CS4.
The troll actually told everyone that it did not buy a license for PPro and has only purchased upgrades. The troll protests too much.
Cheers
Eddie
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