What do I need to do to modifiy a family movie using iMovie 08?

I have two old family movies already on a DVD, which I can play on any DVD player. I want to join both segments and add one of those nice interfaces that are available on iMovie but I don't know what to do so that iMovie can open it. I was told I need to convert the movies but I don't know which software to use on my iMac. I don't even know if I should use iDVD instead...

Is this a very difficult task? I posted same question at some other forums and still couldn't get a simple answer. I'm not trying to work on copy protected DVD's. Just a family movie...

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