[Edward Glasheen]

I am assuming that you have Flash so I would not compress your file in Visual Hub or Compressor because Flash will compress your footage again when you compile it.

I usually bring my Motion footage into Flash using Animation + codec set at the highest quality. I’ll let Flash convert it to .flv making sure the Alpha setting is checked.

If the file is short, such as an explosion, I may convert to a .swf file and convert it to a movie clip.

I think your jaggy quality may be a result of re-compression and / or not de-interlacing your video.

Ed