This is how I did it:
From the Menu:
File->Insert Media File to Timeline -> insert Video
Now select the .m2ts file, Next:
Select Create Video -> Blu-ray -> PAL HDMV 1920
Select Options from the dialog box
Unmark Perform smartrender
Unmark Perform non-square pixel rendering
Select new filename with .m2t extension
Result:
A new MPEG2 file which is about 1.8 times bigger in size and still looks great and is much easier to edit.
I noticed sometimes when playing the file it showed some jerky noise at the start, it looked like some buffer-initialisation bug caused by the generated MPEG2 file.
Jasper
