I suffered with this program for a long time. In fact, I must have been on the Pinnacle Favorite Sucker list, since I bought Studio DV, then the next version Studio 7, and then Studio 8, and most recently Studio 9. I say I suffered because of the famous Studio CRASH. However...
When it finally occured to me to ignore Pinnacle's instructions and try my own settings, everything changed. As you may recall, Pinnacle says use 800x600 res and 16-bit color depth. I did that with various video cards and monitors over the years, and Studio continued to crash. I never made an MPEG2 file with Studio during that time. CRASH CRASH CRASH. At least when I went to W2000 and then XP, I didn't lose the whole computer with the crash. But, to make a long story short, when I switched to 1280x1024 resolution and 24-bit color, my crashes ended.
With Studio 9, a couple of noteworthy improvements:
Studio now allows L-cuts and J-cuts (finally!).
Also, Studio 9 supports 16:9 aspect ratio, if you have a cam that shoots real anamorphic 16:9 (not so-called cinema mode, which is still 4:3), although you can't mix 4:3 and 16:9 in the same project.
The MPEG creation works now and writes to DVD--at least my test project worked.
There is also a new $100 program, Screenblast Movie Studio, a subset of Vegas, which has had pretty good reviews.