Ripping to MKV.H263.AC35.1 preserving chapter and sutitles

vbimport

#1

Hello. I am new to this ripping DVD thing, and would like to ask for some help. I have been looking in tons of guilds and postings, but I can’t find a clear cut guide on how to do the following.

I recently purchased DVDFab 5.2.2.2 Platinum w/ Mobile to rip dvd & BR to HD.
I have chosen to use MKV.H264.AC35.1, but I have noticed a few challenges. I would like to understand how to preserve the chapter information and ability to turn subtitles on and off in movies.
From there i would like to to change this into a VOB file or something you suggest, so I can play these movies on my PS3 or Popcorn Hour. I have looked through a bunch of posts, but I can’t find a clear guide on how to do this. Can you please Help.

Also, for SD DVD movies, is it better to covert to AVI.XVID.AC3? I heard I loose chapter and Subtitle info. I want the best quality picture, while preserving the 5.1 surround sound, subtitle on or off feature, and chapters. If I don’t have to encode it into H264, due to long encoding times, I would like to understand what my alternatives are.