[humanpuff69]

What is deinterlacing ? I have seen that option in many video related software. I am not aware what it does though.

According to Wikipedia:

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Deinterlacing is the process of converting interlaced video, such as common analog television signals or 1080i format HDTV signals, into a non-interlaced form.

An interlaced video frame consists of two sub-fields taken in sequence, each sequentially scanned at odd, and then even, lines of the image sensor. Analog television employed this technique because it allowed for less transmission bandwidth and further eliminated the perceived flicker that a similar frame rate would give using progressive scan. CRT-based displays were able to display interlaced video correctly due to their complete analogue nature. Newer displays are inherently digital, in that the display comprises discrete pixels. Consequently, the two fields need to be combined into a single frame, which leads to various visual defects. The deinterlacing process should try to minimize these.

basically it is converting your interlaced video into progressive video