Stabilization not working in iMovie 09

I've got a new Panasonic DMC-ZS3. I find my video to be very shaky even though stabilization is a feature of the camera (I'm starting to think that only applies to still photos). The problem is I can't get stabilization to work in iMoive 09 either. Help!
The panasonic website says it uses 1280 x 720 at 60p*2 (AVCHD Lite, SH: 17 Mbps / H: 13 Mbps / L: 9 Mbps) / 30 fps) (Motion JPEG) - the footnote for *2 states CCD output is 30p. (In the end I think that means it is 30 based on what I've read elsewhere but not sure).
The apple tip says "Camcorders that use CMOS image sensors often use a technology called a "rolling shutter." This exposes different parts of the frame at different times until the entire frame is fully exposed. If the camcorder is moved before the entire frame is fully exposed, the resulting image may appear distorted. Sometimes, video stabilization may make this distortion more apparent. Videos that show signs of distortion due to your camcorder's rolling shutter may not be suitable for use with video stabilization."
The Panasonic does use CMOS but I don't get distortion when I try to use stabilization, I get nothing.....
I apply stabilization to a clip. It says it won't apply till the clip is in the project. When I move it into the clip I see no change. Sometimes I have zoom slider in the inspector and other times there isn't one (not sure why). When I zoom to min I still have no change in stabilization.

Well thats embarassing. Sat down tonight and stabilization worked fine. Go figure. Just as Apple said, I can't use maximum stabilization or I get ghosting but its still pretty good.

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