b.b..b.b.........bbbb..............BULL**IT. No offence, but I hear this claim too often. You don't need any frigging MPEG-2 plugin, instead you should avoid the MPEG-2 plugin of Nero like a bad disease. Nero's ""plugins"" for MPEG-1 (included with the Nero package) and MPEG-2 (sold separately) are just extremely crappy encoders that produce horrible quality. If you have an existing MPEG-1 file (normally extension .mpg) which is VCD compliant (not all of them are, VCD specs are quite restrictive, visit our glossary at http://www.afterdawn.com/glossary/ for full specs), you can just easily use Nero to burn the VCD using these instructions: http://www.afterdawn.com/articles/archive/nero_videocd_guide.cfm ...if your movie is _not_ a VCD-compliant MPEG-1, but DivX or something else, you need to re-encode the file. Note: re-encoding lowers the quality. Normally a lot. Using Nero's encoder will render the movie worse than my aunt's home movies from '70s, using quality encoder like TMPGEnc will produce something comparable to VHS quality -- this obviously depends on your existing material's quality. One guide for converting AVIs and adding permanent subs and creating VCD-compliant MPEG-1 out of that is here: http://www.afterdawn.com/articles/archive/divx_with_subtitles_to_vcd.cfm ...I strongly suggest that you read through our article section and browse through our forums.