I am completely new to video editing. I thought Vista's Movie Maker would be OK to edit the HD footage from my Canon HV10 but I very quickly found its shortcomings. Unfortunately I have already put 5 hours of camcorder footage on my PC. It has the .dvr-ms extension which I think is native "Microsoft Record TV Show" format used by Media Center which Vegas does not recognise.

Is there a way to convert these files into something Vegas can handle and is it a lossless technique or would I just be better off running my footage out again into Vegas M.S. Platinum 8.0c for another 5 hours?

Personally, I'd recapture.