iMovie to FCP HD-Quality Question

This is a question about quality loss when footage has been digitized in iMovie from DV camera via fire wire. Is there a loss of quality when footage is edited in iMovie ? It seems that iMovie creates copies of everything, every time a clip inserted into a timeline, and/or any kind of effect is applied to a clip. I had been given iMovie projects that I imported into FCP HD and had to continue working on them, using the iMovie format clips.

Is there a genarational loss ?

No quality loss. Not sure how iMovie works but if its making copies of the files all its doing is referencing the original media you captured. Only time you are going to see a hit in qulaity is when you throw a filter on the footage and render.

mike