These are the profiles and settings I used that didn’t do well as far as the audio is concerned:
ipod.mpeg4, 720x298, 1286kbps and 128 audio bit rate
ipod.h264, 320x128, 640 kbps and 128 audio bit rate
generic.avi.h264 audiocopy, 704x292,1500kbps and 128 audio bit rate.
I tried three other players and here are the results, DIVX player, the video is fine but no audio; NERO Showtime, it is all good. WMP is all good also.
If you need more info, let me know.