Hey, no problem with the late reply. Thanks for the lesson. Sorry to hear about the HD encoding problems; it might not be any help at all, but have you tried exporting an "M2T" file (MPEG2 file muxed as a "transport stream") from Premiere? We've done this at work, and you can go as low as 13Mbps (audio and video) with decent results. The file plays on powerful PCs and works really well on Playstation 3.
Exciting to hear that you're venturing into the HD territory! I hope you find something that works soon.