After playing around with it for a while I can see where it would fit into my editing arsenal although it pretty much is i-moive (thats not a dig) but need real authoring and at least multi-cam. One question though, when I import AVCHD files what and where is it converting them too. Am I really editing native or is it converting them somwhere in the background?

it's editing native. If you have FCPX set to copy files on import, the default location appears to be Users/<current_user>/Movies/Final Cut Events/<event name>/Original Media/. From what I can tell, FCPX is scrubbing through those files with no further rendering, and is astonishingly fast at it.

o.k. I must have something set because after playing around a bit I tried to close FCP and get a warning about render projects currently going on.

In the preferences there is a checkbox where you can choose to use optimalized media, so then it transcodes. Otherwise, it works with the native media.

The only thing I haven't figured out yet, is if you tell FCPX to convert the footage, and it does. Then why does the imported footage in my Event still appear to be h.264?

I can see the converted files in the converted media folder in my Events folder, but the h.264 footage still appears in FCPX in the even itself.

I really hope I'll be able to adjust the font-size in the UI... Way too big and fat fonts makes it look bad. Otherwise I like it so far.

The only thing I haven't figured out yet, is if you tell FCPX to convert the footage, and it does. Then why does the imported footage in my Event still appear to be h.264?

I can see the converted files in the converted media folder in my Events folder, but the h.264 footage still appears in FCPX in the even itself.That's because Events is your Media Library. Your original clips are stored & not converted or changed in any way.