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I think it's better not to try to convert M2T into another format. Just select in Import window the M2T format. Then the M2T file is not reencoded but rewrapped to MXF and you save quality and import time. The only disadvantage is slower response you can feel in the source window and the timeline...
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I am shooting standard def native 16:9, exporting a quick time ref. file from the Adrenaline to Sorenson Squeeze to transcode to an MPEG file for DVD playback with 16:9 pixel aspect ratio with "letter box or pillar" checked on the Large File DVD setting. It plays perfectly fine on a 4:3 standard...
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