FC-Express "unrendered error" Help

Thanks in advance.

Trying to add material to timeline from canvas and getting "unrendered" error, no playback and this red double line above time-line.

Computer: Macbook
OS: 10.6.1 (Snow Leopard methinks)
Program: FCE 4.0
Camera: (Cheapy) Sanyo Xacti cg10
Video Specs from QT:
Format: H.264, 1280 X 720, Millions AAC, 2 channels, 48000 Hz,
FPS: 29.97

New to Apple, FCE and the camera but willing to provide any information that will help you help me.

Alex

Did you use File-->Import. That would explain unrendered material which is what the red lines indicate.

Their is a proper way to import the video. I suggest reviewing the 'Transfer from AVCHD' tutorial at the FCE tutorial page.