Check this thread out in the other forum:
http://www.geekzone.co.nz/forums.asp?ForumId=83&TopicId=25517&page_no=2
I have downloaded the Arcsoft Mediaconverter 2.5 and the h264cutter and have successfully converted the files to play in .avi, .mp4 and .wmv and played them with AUDIO on the popcorn hour. The Arcsoft converter doesn't like .ts files but I just changed the suffix to .mpg and it accepted the file.
I started with an original files size of 81Mb and with AVI it converted to 76Mb, MP4 57Mb and wmv 30Mb . I couldn't see much difference on converting TVNZ6 SD video but I will try a TV3 HD video with AAC audio and let you know...
Thanks to charley for finding an easy converter which looks like it can handle batch conversion with no sync issues !!