Yes, CCE can encode both progressive and interlaced, of course. See the settings dialogs and the manual. Yes, not only can AviSynth be used for deinterlacing: it's recommended, too. There are many deinterlacers of different quality available. For the first steps use Donald Graft's Decomb package (the FieldDeinterlace() command for truely interlaced DV video). Furthermore I recommend to read up some guides here at ;) to launch your first projects. bb