I'm archiving some short (2-3min) recordings from my Pace Twin PVR to my
PC using an S-Video lead and red/white audio cables.

I'm using Power Director 3 (came with the PC).

After I've captured 2 recordings, I lose sound on any subsequent
recordings. 

Anyone any idea why ? I can't see any settings/preferences that look wrong.

Is there any Freeware that would be easier to use for this work. I've
tried MS Movie Maker2 (comes with XP), but this records in AVI, and the
replay quality is poor, compared to the MPEG2 which Power Director uses.