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My Dad uses Pinnacle Studio to pretty good effect

Ugh. Granted, the last time I tried Pinnacle's products was a few years ago, but they seemed pretty terrible to me.

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If you don't have a Mac then Adobe Premiere is spot on, I have used it in the past, very advanced but the output is impressive, it's also much easier to pick up than Final Cut.

While I wouldn't call any Adobe product easy to pick up (although you're being relative), I've used Premiere before and thought it was okay. I'd recommend getting Premiere Elements, though. Unless you want to break the bank.

I've said it here before, but my favorite DVD authoring tool is DVDlab. Through them, I found a fairly inexpensive (compared to the insanely expensive like Premiere) program called Edit Studio. The good news is that there's a free trial of both programs.

I think the biggest challenge for you is going to be figuring out exactly how you're going to go about this, given that you're starting with DVDs. You're taking compressed video, and in most cases you're probably going to be compressing it again. I'd investigate to see if there's a way to do this without doing any recompression, but I've never gone that route myself, so maybe someone else here can offer some advice.
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Matt