I am shooting with the Panasonic AG-HMC150P camera and my client wants deliverables as a 480x360 flash file to post on their company website.
It looks like the HMC150 does not shoot SD? I could not find a setting on the menu. And HD defaults to widescreen.
The best solution I could think of was to shoot 720/60 (no need for 1080) and keeping the FCP sequence set to 720x480 (making the footage letterbox.) There is a noticeably quality loss here, but not more then what will happen when converted to flash.
Then I use Mpeg Streamclip to convert to flash.
Make sure the aspect ratio is a proportional reduction from your original footage and it will look better. I don't see the point of the SD intermediate though. You should be able to downconvert and encode to Flash in a single step.