Terrible video quality using FLVPlayback component

[jcnes]

I've got an application where I've got a .swf hotspot that contains a button and an instance of the FLVPlayback component. When the button is pressed, the component shows up and plays a video.
The only thing is that the video just consists of some multi-colored diagonal lines.
When I test the hotspot outside the player, the video shows up fine.
The video is a streaming video, but I've also tested with progressive download with the same results.
Are there any known issues with embedding the FLVPlayback component in a hotspot?

Thanks,
John