Serious quality loss with MTS files and iMovie '11

Hello,
I have some issues with my brand new Panasonic HDC SD700 (a full HD camera)
I experience serious quality loss when I use iMovie to create a movie.
I did some tests, but still puzzled int this world of codecs and formats.
Maybe some of you can help.
I have made a short shot of 450 sec with highest mode (1080p 24fps)
It show is finder as a .MTS file size 99MB, I'm very happy with the quality when I play this with VLC.
iMovie turns this file into a .mov file with 635MB size, in Apple Intermediate Codec, Linear PCM, Timecode. This quality is already poor compared to original MTS file.
No wonder that the output file (select 1080p H.264 codecs) results also in unacceptable quality.
I'm running latest imOvie version with all updates etc.
I have no idea were to look to solve this issue. It is quite annoying since I have invested in a top Cam recorder. Not sure is Final cut express will sure the issue either.....

I have made a short shot of 450 sec with highest mode (1080p 24fps)
Have you tried shooting at the PAL standard of 25fps? I checked the specs for your Panasonic but didn't see any mention of a 24fps mode, but most reviews seem to miss mentioning the shooting modes. If you did indeed shoot at 24fps, did you choose this frame rate when importing to iMovie '11?
I export as 1080p (same as original. My output is a bit blurry and colors are a bit pale.
Did you use the 1080p preset under Share to Media Browser, or Export using QuickTime? If the latter, be sure to select an appropriate data rate - if set too low this may result in poor quality output.
And yes you are right I'm using IMovie '11, quite confusing that '11 means version 9.0
Yes - very confusing! In the forums, iMovie versions are generally referred to by their year number, not version number. It's a pity that we have version 9.0 (iMovie '11) and iMovie '09.
Glad you liked the video - it looked very clear on YouTube at 1080p Full Screen, at least to my ageing eyes!
John

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