I would stick with AE, but that’s just me.
There’s some things to check in FCP. First of all, what resolution are you working at?
Make sure that the ‘center’ keyframes in your motion tab begin & end on whole even numbers (such as [10,102] & not [10.87,102.31])
Also, try adding an extremely slight gaussian blur (like 0.3) and see if that smoothes things out a bit.
If you decide to go the AE route and depending on what version of After Effects you have (you need 6 or above), you should be able to type directly in the application (using the text tool, apple-t) and avoid using Illustrator. You could also put a slight vignette on the top and bottom of the screen to give it a nice soft fade away from the bottom and into the top, but that’s a matter of your particular design choice.
Good luck and good compositing.
Jeremy
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G5 Dual 2Ghz <> 4GB RAM <> FCP 5.02 <> Kona 2
ATTO 42XS <> Huge Systems 1.25 TB 4105 Fibre