hey guys, thanks for info so far!

I have realised that even in Premiere Pro CS3, editing native HDV, fades to/from black are quite bad and create stepped patters across flat colours as the fade occurs. I am using a tft lcd monitor yes - BUT I do not see this problem at all when editing DV footage. The fades are fine. It is only on HDV. Can it be my FX1 footage is just that bad in the blacks?

I have exported the Cineform footage to Microsoft uncompressed AVI to import to After Effects (AE wont recognise the cineform) and have done some fades in After effects on the footage and in AE itself, the fades look ok (not perfect but better than in premiere). When I bring the AE footage into Premiere, the fades looks just as bad. The fades do export badly from premiere, its not just a premiere display issue.

I have tried to up the bit depth to maximum but it doesnt make a difference. I am thinking, never shoot a movie in HDV again! think that must be the solution!!

James