Meh, you removed half the details from your post.
Your Adobe Premiere Pro CS4 has all the settings you need to edit AVCHD. Same as your After Effects, though that's not really the best choice for plain editing.
Your friend (with the AEFX & poor-looking renders) is probably not matching the project settings to the actual video clips' properties.
the render time with neoscene on a quad core is smoking fast too..In the 48 hour film thingy I produced nobody had heard of it.. they all just edit jerky AVHCD files on there 8 core cpus's.. I was doing faster editing on my quad core using neoscene.. but the render time on those 8 cores SMOKED! so it was a wash..