So maestra
the good news is that by importing the 09 clips from the 09 Event into iMovie 06, then no degradation takes place.
As you know you cannot import directly your AVCHD into iMovie 06 so, as I see it, this is the only way you can do it without using some other conversion software.
I carried out some tests myself yesterday.
Imported same HDV footage into both iMovie 09 and 06 (remember both of these can handle HDV, AVCHD cannot be handled directly by 06 ). Both 06 and 09 convert the HDV to AIC on import.
I then imported the AIC clips from the 09 Event into iMovie 06.
I now have 2 sets of iMovie 06 clips, one that was imported directly, the other that was imported firstly into 09 then into 06.
When I compare these 2 sets they appear to be identical. Also when shared and burnt to DVD the quality also looks identical, albeit that it it is in standard def.
This now leaves you with your disappointment with the quality of your burnt DVDs.
For transfering to DVD this is what I do and I get pretty good results, for both 06 and 09.
When I have finished editing and am ready to share I select,
Share -Quicktime,expertsettings......Movie to Quicktime movie
options...video ....settings
compression type =Apple intermediate codec
frame rate = current
compressor preset = HDV 720p (although you started with AVCHD still select HDV 720p )
size select HD 1280x720 16:9
I do not check the box -preserve aspect ratio or deinterlace source video
sound settings...AAC
rate=48000
render setting quality = best
target bit rate =128
When I am experimenting I use DVD- RW discs to avoid wastage.
Also I use Professional quality encoding when burning DVD.
Knowing that you can now get your AVCHD into 06 via 09 without degradation give it a spin.