I have used super and been able to convert FLV files to avi, wmv maybe something with the codecs on your machine. I also have FLV player...
as others have said just RMA the drive try http://www.seagate.com/www/en-us/support/warranty_&_returns_assistance
I would say try pclinuxos its great and is one of the easiest distros out there
I have always liked an application called SUPER in windows does everything a little difficult to find the download link on there site, just google...
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