Importing fcpxml problems

Hi, I am trying to import a fcpxml project into FCPX from Vegas.

The project imports fine, and I see the clips in the project, but the timeline doesn't show the footage. I can see the cuts on the timeline, when I click on a clip in the timeline and select "open in browser" it shows the correct clip in the library.

There are also red lines above some of the lips in the timeline and there is no audio.

How do I link the edits in the timeline to show the footage and audio?

Please help.