IMovie 11 (9.0.2) slow to import pictures, crashes

Hello all,
I’m trying to import 2600 pictures to make a time lapse and it takes approximately 5 seconds PER picture to import. I have already formatted the pictures into desired size (720P movie, therefore exported all pics at 1280 x 720 and average only 500KB size).
I tried both dragging and dropping the pics from desktop to iMovie as well as first importing to iPhoto and then importing from iMovie through the picture thing.
I tried in small batches (100pic) at a time too but it’s still dog slow. I have NO other projects or anything.
Also, no matter what, after about 20-30 mintes the application hangs completely and I have to force quit it...
Latest version of iMovie 9.0.2
I have a powerful MacPro (2 x Quad-Core Intel Xeon 3.2 GHz, 10GB RAM, a new ATI Radeon HD 5870, and 7200rpm HDs)
Everything up to date

Just want to say I am having a very similar problem.  I've been working iniMovie for a couple years, and  I have never experience this before.   I do have the latest update iMovie11 9.0.2.  I have about 1400 pictures imported from iPhoto (and really didn't experience major issues importing them), but now I am trying to go in and adjust cropping and transitions, and every slight adjustment takes approx 20 - 30 seconds, so it's taking me FOREVER to edit this project.  Am seriously frustrated!!  Any ideas out there?

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