Did you try actually concatenating the sequential files? I have found that works with my older Panasonic camcorders. They seem to split the MTS files right at the 4GB boundary. So when you line up clips, you find that sometimes, the break was in a bad place and there's an effective gap, even through there shouldn't be. In my experience, this goes away when you simply concatenate the files (I use the "cat" function in a Cygwin shell, but I the same thing can be done with Windows' Copy function... see
http://support.microsoft.com/KB/71161).
-Dave