Zen v plus and avi's

I have a question: I got a zen v plus 2gb for my birthday in october. I have been trying to convert a dvd to play on my zen in avi format. I used dvd shrink to do the initial shrink and pocket divx encoder to get it smaller (about 125mb). After that I tried to put the avi onto my zen and found out that the zen will not play a compressed avi. Does anyone have a good suggestion on how to get a dvd down to about 1gb and have it be an uncompressed avi? Thanks a bunch. Other than that it has been a great player.

I've got a sneaking feeling it's not that easy. I seem to remember reading somewhere that creative use proprietry encoding for video - which is less than efficient something like ~1 hr = 1 gb or 1hr = 2 gb... :(