HDD Camcorders and MPEG-2

[Pumaedition]

Ok, our HoD is in the process of writing a new scheme of work, and to follow a different IT program for the students.

He wants a section on Video Editing, however, one video camera we now have in school, records in MPEG-2...which I am sure you are all aware, is not supported in Windows Movie Maker...so editing is impossible.

Doesn anyone have any free software that will be able to either:

1) Convert MPEG-2 to a compatible WMM format
2) Edit MPEG-2 videos (like WMM, so adding screens, splitting chapters etc etc etc)

Many Thanks

EDIT: Found a piece of software called FLASKMpeg which does the job