j4mes_bond25, your FLA is not fine.

You have 16 objects in your Blur 2 MC making an Alpha transparency transition. Alpha transitions are about the most processor intensive thing you can do with a SWF in the Flash Player, particularly using the Timeline, and you have 16 of them doing all at once. That's why your movie comes across choppy. I'll see if I can post an alternative for you to see.