Just wanted to report on my DVD to WMV conversion progress. Point of fact I am using The Incredibles as my source DVD because of the audio and video quality.
I use VOB2MPEG to convert a series of movie-only VOBs (created with DVDShrink, no compression) to a single MPG file. I have ffdshow, AC-3Filter, and PowerDVD installed, it seems I need codecs provided with these apps to load the MPEG2 file into WME. I am also configuring ffdshow according to the guide on HTPCNews. I am setting only the "Blur & Sharpen" settings, resize and deinterlace is being done in WME.
I am getting excellent quality if I choose Quality VBR and Windows Media 9 Advanced Profile for video and set the quality to 100. For audio, I also choose Quality VBR and Windows Media Lossless, VBR 100, 48K, 5.1 channel 24 bit.
It takes a HELLA long time to convert The Incredibles, well over 10 hours on my Athlon 64-FX57.
I'm not by any means sold on this DVD to WMV process, in fact I am beginning to think that a 1:1 backup with dual-layer media may be the best way to go in the end. All the same, I will post my complete findings and maybe a guide.