Flip UltraHD MP4 files and P-Elements 9

I can edit Flip UltraHD MP4 files using the XDCAM EX 720p 30p setting in Premiere Pro
But... the reason I bought this camera was for my non-technical wife to be able to "play" with video with an easy camerea (she stays FAR away from my $1k Canon Vixia)
Now, I want to offer her the option of creating her own DVDs on her computer, with Premiere Elements 9
Before I buy the program, could someone verify that PreEl-9 actually DOES have a preset for Flip files (or, as I do in PPro, another setting that works for native editing, without having to do any file conversions)

I may upgrade her to v9 later, if she finds that she enjoys video editing... or maybe not, due to her computer's relatively low power dual-core CPU and the fact that MP4 (like AVCHD) requires a powerful CPU for "happy" editing
For now, I have to add a 2nd drive anyway (just ordered @Newegg 1T Samsung Spinpoint http://www.newegg.com/Product/Product.aspx?Item=N82E16822152185 for net $59) so I'll use the v7 I have and just convert to DV AVI Widescreen
Conversion is faster than real time on my computer (I haven't timed it, but a 1 minute test clip converted in much less than a minute) and she's not going to have all that many clips at any one time that need to be converted
Plus, as I said, she gets very impatient very quickly when her computer is "slow" in anything, so I think that giving her AVI's to edit will cause ME fewer headaches down the road
New drive should be here by the end of next week, then I'll install v7 and get a project set up for her to play when it's winter and she's not working in the garden
I've already downloaded the 703 update, so I'll be all set just as soon as the new drive arrives
Added
Another bonus to using the v7 I already have is that it came with a printed manual AND I have a book by a guy named Steve for my wife to read

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