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I am trying a trying to edit a HD AVC video produced with a Canon HF10. I am using the Videostudio 11.5 PLUS (boxed).
The total video project is only 6 minutes.

When I try and output the file in the same format it is only producing about 1 min 27 sec of the file. I actually watched it while it was producing this file and it gets upto about 170 mb and then stops growing at 29% rendering. The rendering continues to 100% and then the file jumps to 180MB. While it continues to say it is rendering it seems to take the normal amount time (compared to the first 29%) and it keeps showing that it jumping to the later clips of the video.

Turning off smartrendering the entire project is produced, but instead of minutes it takes hours to produce the video. And of course rerendering probably introduces lose of video quality.

I too remain confused about the smart rendering option when working with AVCHD...I understand that with smart rendering checked the compliant parts are no rerendered, but independent of the smart render setting, in both cases, creating an AVCHD file at 1920x1080 (18Mbs default) or using MPEG Optimiser (16MBS= my footage's bitrate) it shows no rerendering needed on the non processed parts(green bars). So birate doesn't seem to be an issue wrt rerendering. When smart rendering is not checked I see the all files "render" (takes time and maybe quality loss), when smart render is checked I only see the processed parts rendering. I too got lockup once when creating a file with smart render checked and also in my case the problem was solved with smart render unchecked. Although I doubt that there is some quality loss with the AVCHD workflow, I would prefer to go with smart render on, but then there is a risk to get locked up...

I did some further tests specifically about the potential degradation of AVCHD images wrt smart render vs non smart render. I selected an original AVCHD file (about 5 seconds containing some high res parts, some motion some saturated object and different gray shades). I took the rendered file up to 10 times into the timeline again (create file>Mpeg optimiser> save> saved file again into the timeline...) I thus created 10 files with smart render checked and 10 files with unchecked smart render. The only differences I noticed with the unchecked series, between the first and the thenth, was a very slight change in grayscale, no resolution degradation, and slightly higher saturation, not at all visible when compairing e.g. between 1 and 3. I also remarked slight random changes in filesizes (about 200KB on 7MB files) The 10 smart rendered files kept exactly the same filesize, and didn't change at all. For me the unchecked results are more than convincing and from now on I wil always uncheck smart render for creating AVCHD movies. I don't like the risk to get locked, like I once experienced with smart render "on"