Flash mx/mx04 video question

I have an after effects animation that I want to bring in. My question for file size sake. Is it safer to bring it in as a QT or AVI? Or to bring it in as a image sequence and run a photoshop batch optimization before import? I am basically trying to get this animation in in the smallest format possibl to reduce my file size. ANy opinions or insight appreciated.

also which one handles video better mx or 04? I still am not completely sold on 04 yet. But we bought it anyway (impulse shoppers)