Video conversion using Quicktime Pro (Which Export Settings?)

I tried converting videos (.avi) to .m4v so that I can play them on my iPod Touch. However I am having problems.
iPod Touch documentation says that the following video file formats are supported by iPod touch:
A H.264 (Baseline Profile Level 3.0)
B MPEG-4 (Simple Profile)
My question is:
1. Can anyone show me how can i covert to those format using Quicktime Pro? And please do let me know which exact EXPORT setting I am supposed to use. I used EXPORT> Movie to iPod . It did not seem to work.
Thanks in Advance.

I use it on a 24" iMac C2D running at 2.33GHz with 3GB of RAM, and it's much quicker than a regular QT export and a bit quicker than VisualHub. I won't quote a time to encode a "2 hour movie" because there's a lot more factors involved like resolution and original file encoding but the device is faster than using the twin cores.
No, it won't work with Handbrake, nor VisualHub for that matter. It acts as a plug-in (albeit hardware) for QT and any application that uses QT for export can utilise the turbo.264.
One other (for me big) advantage is that Elgatos own software for using the turbo.264 supports AppleScript and hence Automator.

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