Hi
Could be your output settings that are not right. What did you use?
If you output your WMV file edited in VP as another WMV file then there will be some image degradation. Also if your imput resolution was small and you output as a larger image then that will have a similar effect.
Try the following settings....
Preset HD 720
File format .avi
Resolution Take the default resolution or reset to original size or you can try smaller. (This may change the preset to Custom but no problem)
Frame rate Take the default value that appears (normally 25 fps)
Give it a try ans see what you get.
Nat