Be sure to Save As to create a copy of your project and work on the copy. You should also perform a "Revert to Original" operation on the troublesome .avi asset before you do the Replace Asset op.
It may not be relevant, but do you have any Matrox hardware installed on your computer? Canopus?
Are any significant changes to the video/audio content occurring at 3;12;44;00? Does the source video that you used in Premiere use any codecs other than DV? Is it possible that there are other characteristics of the source video in PPro that could be contributing to this?
-Jeff
The Focal Easy Guide to Adobe Encore DVD 2.0
