Stabilization works inside iMovie but export is unwatchable

I've been applying stabilization to many clips from a sports event in iMovie 9.0.2.  I was standing within the event, walking around with my camera, holding it as smoothly as possible, panning smoothly etc. but of course had some shake.
Most clips look good with stabilization set around 115-120%, a few needed to be set up to 130%.  All of them play back fine and look lovely and smooth inside iMovie.
However whenever I export them (either exported as Quicktime dv stream, or "shared" through Media Browser to import into iDVD) the same clips become extremely choppy and are completely unwatchable.  The effect looks as if the frames are being reordered from  say  A B C D E F G H I J   to  B A D C F E H G J I .
I've tried adjusting the rolling shutter setting but this makes no difference.  I've tried varying interlace/progressive settings to no effect.  I've tried reducing the amount of stabilization to a lower percentage, but unless I reduce it as low as 103% the jittery choppiness still occurs in the exported clips.
What can I do to resolve this?  Obviously if it plays smoothly within iMovie, then I just need to replicate this same playback setting for export.
Thanks in advance for your help and advice.

I had exactly the same problem. My movie within iMovie 11 played fine post stabilisation (I'm from UK so we use an S not a Z) however when I exported the movie, those clips which were 'stabilised' turned out worse than the clip prior to using that process.
I was in the same boat as you guys, wondering what on earth could be the problem.
I did eventually find a solution that worked 100% for me.
Initially I had connected the camera via USB (Sanyo Xacti CG10) which uses SD card to store images and video, and imported the video content to iMovie. I then selected the individual 'clips' after import to analyse for stabilisation. I then moved them from the event to project area. Having completed my movie, I exported using Share and Export Movie (I also used Export to Quicktime) and selected 720p as that was the same as the source.
The clips which I had analysed for stabilisation and used stabilisation worked fine when viewed in iMovie. After export (irrespective of which settings I opted for) they were worse than had I not used stabilisation. They were totally jumping around and looked terrible.
I searched online for a solution and only found people with the same problem however no solutions.
Anyway, this is what I did and it worked.
I went back into iMovie and deleted the clips from both events and projects that were the problem. I then took the SD card from the camera and inserted it directly into my MacBook Pro. That launched iPhoto which I shut down and was left with an import screen from iMovie (I already had iMovie launched). I chose 'manual' and selected the scenes to re-import which had been the problem. I also selected to check for stabilisation during import. The scenes were duly imported to my iMovie event. From there I dragged and dropped the clips back into my project where they had been before. I then selected share and 'export movie' selecting 720p.
I have no idea why, but it worked. What I viewed in iMovie was now totally replicated in a .mov file of the same name.
My only theory is that there must be a software issue with iMovie. Depending on how you 'import' as opposed to doing changes within iMovie seems to be the key.
I shall offer my findings to Apple and hopefully this anomaly (which I imagine must be affecting all iMovie users!) can be rectified.

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