Need more info. I assume that you captured from a DVD or VHS. If you captured from DVD, then it might be best to do a DVD copy operation, and visit a more appropriate forum, like "one click dvd backup." If your capture was from VHS, I'd do it differently, ie, I'd capture using Huffy codec, clean it, then encode to MPEG using an appropriate program. Your problem maybe two-fold: you can't adjust the bit-rate; your capture resolution is too high, ie use 352x40 rather than 720x480. Your project would fit if it were 352x480. Just my thoughts.