Poor quality DVD from Premier Elements 1.0

I've captured 5 short clips from my miniDV camcorder with premier elements. The avi files look like reasonably good quality. When I export to DVD, the 5 minutes of video, the quality is very poor, almost blurry or like it has way too much compression. I exported with the 'fit contents to media' unchecked and the quality setting to High, USA Japan, NTSC.
I took the same clips and burned a DVD from Sonic MyDvd and the quality was much better.
I have the latest premiere Elements 7 on order but I want to know if anyone else has had a similar problem. I seem to remember premiere making better DVDs when I first installed but can't find anything in the settings that has changes.
Thanks,
Mike

When recording your video with miniDV, are you shooting in High Definition or Standard?
What project preset are you setting for at the Premiere Elements Welcome Screen/Setup?

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