>and set the canvas to Alpha,
If you are talking about the right drop-down menu button in the canvas, you should switch that to "RGB".
Here's a quick guide:
1. key/matte out your video
2. Make sure your video is unrendered, mark in and out on the segment you want to export.
3. Export QT conversion. Select Animation, Millions of Colors+, export.
4. To check it, reimport the clip into the timeline, in clip properties (apple 9), make sure that "alpha" is set to "straight".
www.strypesinpost.com