Thanks for the reply... you say "encode the interlaced source as an interlaced mpeg (non progressive) and you save a lot of time because there is no need for deinterlacing". When I do this method (CCE / MPEG2 / Non Progressive), I still see some interlace artifacts (mouse teeth / horizontal jaggies) on my NTSC monitor. Granted, it's not as bad as on a progressive scan monitor, but they are still there. When I play back the interlaced source file on NTSC, it looks fine, but the encoded MPEG2 has the artifacts. Any idea on how to eliminate this?