Problems with importing .MTS files into iMovie with SONY HDR-PJ10E camcorder

I imported these video clips (as featured in the youtube link below) from a SONY HDR-PJ10E Camera onto a Mac using iMovie '08 (7.1.4) on Mac OSX 10.5.8. They import as .MOV files, from .MTS files

http://www.youtube.com/watch?v=xXZPPt6oRXg

As you will notice there is a kind of flash in the sky as the intensity of the light changes as I am panning up the statue just as/after the women walk past. This is not there when I play the footage on the screen inbuilt into the PJ10E camera. It must be an iMovie importing problem.

Also, with the following beach scene, you'll notice how very overly blue the waves scene is at the beginning, but then the colour balances out correctly when it pans up over onto the beach. Again, this extreme blueness is not there when you play the footage on the PJ10E's inbuilt screen, or if you project it using the camcorder.

What is the problem with iMovie? Is there a way around this problem. I find it highly annoying I spent so much money for a good quality camera and then get a second rate product because of the Mac software.

thanks, Barry

<Edited by Host>