You Can not Decompress Dolby AC3 Just useing Virtual-Dub, Virtual-Dub can extract the AC3 but not decompress it...If you install the AC3 ACM Decompressor you should be able to decompress the audio useing Virtual-Dub ,You will first have to install this: AC3ACM Decompressor http://fcchandler.home.comcast.net/AC3ACM/AC3ACM.zip Then Load your AVI file into Virtual-Dub and then go to "Audio" and set it to "Full Proscessing Mode" and then go to "File" to "Save Wav" and then give the file a name and save it...With This AC3 Decompressor installed you should also be able to encode that AVI file in Tmpgenc without decompressing the Audio but you Might have to go to "Options" to "Enviromental Settings" to "Vfapi Plugins" and Lower the "Direct show File reader" to "0" and Raise the "AVI VFW Compatibility Reader" to +1 and then Tmpgenc should be able to decode the AC3 audio....Cheers