Here is what I think would be the relevant part of the Subsonic log... hope this helps
Thanks again!
INFO PlaylistInputStream admin listening to "01 Battlestar Galactica - Mini Series\Battlestar Galactica 1.0.avi"
[8/11/10 7:32:33 PM EDT] DEBUG TranscodeInputStream Starting transcoder: [c:\subsonic\transcode\ffmpeg] [-i] [E:\Videos\Battlestar Galactica\01 Battlestar Galactica - Mini Series\Battlestar Galactica 1.0.avi] [-f] [flv] [-y]
[8/11/10 7:32:33 PM EDT] DEBUG InputStreamReaderThread (c:\subsonic\transcode\ffmpeg) FFmpeg version SVN-r21231-Sherpya, Copyright (c) 2000-2010 Fabrice Bellard, et al.
[8/11/10 7:32:33 PM EDT] DEBUG InputStreamReaderThread (c:\subsonic\transcode\ffmpeg) built on Jan 16 2010 05:42:31 with gcc 4.2.5 20080919 (prerelease) [Sherpya]
[8/11/10 7:32:33 PM EDT] DEBUG InputStreamReaderThread (c:\subsonic\transcode\ffmpeg) libavutil 50. 7. 0 / 50. 7. 0
[8/11/10 7:32:33 PM EDT] DEBUG InputStreamReaderThread (c:\subsonic\transcode\ffmpeg) libavcodec 52.47. 0 / 52.47. 0
[8/11/10 7:32:33 PM EDT] DEBUG InputStreamReaderThread (c:\subsonic\transcode\ffmpeg) libavformat 52.47. 0 / 52.47. 0
[8/11/10 7:32:33 PM EDT] DEBUG InputStreamReaderThread (c:\subsonic\transcode\ffmpeg) libavdevice 52. 2. 0 / 52. 2. 0
[8/11/10 7:32:33 PM EDT] DEBUG InputStreamReaderThread (c:\subsonic\transcode\ffmpeg) libavfilter 1.15. 0 / 1.15. 0
[8/11/10 7:32:33 PM EDT] DEBUG InputStreamReaderThread (c:\subsonic\transcode\ffmpeg) libswscale 0. 8. 0 / 0. 8. 0
[8/11/10 7:32:33 PM EDT] DEBUG InputStreamReaderThread (c:\subsonic\transcode\ffmpeg) libpostproc 51. 2. 0 / 51. 2. 0
[8/11/10 7:32:33 PM EDT] DEBUG InputStreamReaderThread (c:\subsonic\transcode\ffmpeg) [NULL @ 01298260]Invalid and inefficient vfw-avi packed B frames detected
[8/11/10 7:32:33 PM EDT] DEBUG InputStreamReaderThread (c:\subsonic\transcode\ffmpeg) Input #0, avi, from 'E:\Videos\Battlestar Galactica\01 Battlestar Galactica - Mini Series\Battlestar Galactica 1.0.avi':
[8/11/10 7:32:33 PM EDT] DEBUG InputStreamReaderThread (c:\subsonic\transcode\ffmpeg) Duration: 01:34:04.76, start: 0.000000, bitrate: 1767 kb/s
[8/11/10 7:32:33 PM EDT] DEBUG InputStreamReaderThread (c:\subsonic\transcode\ffmpeg) Stream #0.0: Video: mpeg4, yuv420p, 704x384 [PAR 1:1 DAR 11:6], 25 tbr, 25 tbn, 25 tbc
[8/11/10 7:32:33 PM EDT] DEBUG InputStreamReaderThread (c:\subsonic\transcode\ffmpeg) Stream #0.1: Audio: mp3, 48000 Hz, 2 channels, s16, 128 kb/s
[8/11/10 7:32:33 PM EDT] DEBUG InputStreamReaderThread (c:\subsonic\transcode\ffmpeg) At least one output file must be specified