How to convert (or edit) MTS files?

I purchased a new Panasonic camera that creates HD video files in MTS format. I am able to load MTS file into Movie Maker but the preview shows only a blank screen. When I try to publish the MTS file, then Movie maker creates a small Wmv file but there is nothing in it. I have even installed the MS WMEncoder software but it fails to convert the MTS file also. It is able to load the MTS file as input, complete the conversion process but only a blank WMV file results. Can anyone please help me ? Thanks.

Download a tool called ArcSoft MediaConverter. You can try to convert MTS video into varied other popularly used formats as the requirements of your media player. You can get the same by searching it on the internet.

Try to convert mts to mpeg. I've had good results converting the .mts files to .mpg, with the settings mpeg2, 12000kbps, 1280*720, 25fps, aac. The files look good on my PC running Movie Maker, edit easily, and convert well to DVD format. I burn with DVD Maker.

It is common that MTS files can not edit on your windows movie maker. But i heard that Windows Live Movie Maker added support for avchd mts now. You can upgrade your WMM to WLMM. If you don't want to upgrade, you use a mts converter-Aunsoft Final Mate, which is professional in converting MTS/M2TS files from camcorders to other popular video formats like WMV,AVI,MP4,MOV,MKV,FLV, FLAC,MP3,AC3 and etc. Its advanced video and audio sync technology makes you free from sync issues.