Thanks for your reply.
On page 29 of the Recode manual it says that:-
If you check the box 'Keep all menus in original quality', they will simply be copied and not recoded.
If you disable the check box you will be able to recode the files contained in the menus.
Isn't the point of recode, to create a MPEG-4 file out of a DVD MPEG-2 file for instance.
How can you not Recode one bit like a menu.
Will the menus work in both instances e.g you select play movie and it plays or you select Chapters and you go to the Chapter menu?
Apologies for my ignorance!