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WMV seems to be a pesky video format for Apple customers, including Mac users and iPad users. Though WMV is a quite hot video format developed by Microsoft, it is not compatible with Apple products. So if you want to edit WMV files in iMovie or orgnize them in iTunes, you need to convert WMV to a Apple supported format like MP4 first.
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Have problem with importing MPG videos from your camera into iMovie for further editing? Or may you have some MPEG/MPG files stored on your Mac and want to use them on iMovie? Then you'd better convert your MPG files to iMovie accepted files at first (iMovie compatible file formats: DV, MOV, MP4, M4V and AVCHD etc.).