Inkexit - by "Match File Properties", do you mean "Match Media Settings" (Project Properties - Video tab, the "folder" icon next to Template, select a file)?

If so (and probably even if not so - I can't find a "Match File Properties") then you've misunderstood what that does.

It sets the Project Properties to the same as the file you select. In other words you'll be working in that mode whilst editing.

You can still render to any format you wish and so you will still need to select which format and which template when you render. This does NOT default to the same settings as the project properties as you might wish to render an avi, a MP4 and a WMV from the same project.

(I would accept that there might be a good case for a button where you can set render properties to match either a specific file or the project properties - in fact it could be VERY useful - but there doesn't seem to be one)

I suspect the same as Chapman Photography - you're rendering uncompressed AVI.

__________________
Tim