Well, there are a couple of odd things here. You have a NTSC resolution of 720 x 480, but the frame rate is 25fps, which is not used in NTSC video. Eh...probably not a big deal since this is divx, not dvd-video.
And you are using a divx codec and have interlaced video, which I haven't run into before.
If you want to try AVIDemux, import the file, click on Video and set it to Mpeg4-ASP (Xvid). You didn't use the Tree view within MediaInfo, so there's no audio info included in your last post, but you can probably just leave the Audio setting on Copy.
Format should be AVI.
The real question is will this convert ok without deinterlacing? There are deinterlacing filters included with AviDemux, and you can access them by clicking Filters once you have imported the video and set it to the Xvid codec. You can select one of the deinterlacers and click on Preview to see the effect, without having to reencode the whole thing first.
But I think I would try without first, and see if the output plays properly for you.
Edit: By the way, to start the encoding, click File-->Save-->Save Video.