Fade from black and fade to black come out green in AME CS4

Hi,
I have a short 3 minute clip in the photo JPEG format.  I applied the 480P Apple TV setting to it and hit render.  The quality was great except that instead of fading from black at the beginning of the clip and fading to black at the end of the clip, it fades from and to green.  In other words, green has replacedblack when fading.  This does not happen in Compressor, but the AME produces the same quality image at 1/3 the files size. What am I doing wrong?
TIA!

I've definitely rendered and it makes a difference. Nevertheless the dissolve is still quite blurry.
Any thoughts?
Trey

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