You will need VIRTUALDUBMOD (again) to cut/save clips from a chunk of an .avi
http://virtualdubmod.sourceforge.net/ is the link to download
Anyway open your large file (it could take a few seconds to parse.) You should see the main screen of virtualdub.
Here is a picture highlighting the things you need to know for this purpose. Input video and output video are here just to explain the reason for two
screens:
http://s147.photobucket.com/albums/r318/vi...urrent=dvd6.jpg
To save a clip from an avi you must change the program from "full processing mode" to "direct stream copy", this makes it so virtualdub does not re-encode your video clip or change the codec, its merely making an exact copy of that portion of the video. To select a portion of video you need to move the slider at the bottom of the screen. Think of keyframes as chapters, instead of moving frame by frame it skips to relevant parts of video. Hold shift when you slide it to the position you want, the start of an episode maybe and press HOME on your keyboard to mark the position.
Then slide it again after the credits if you want and press END on your keyboard to signify the stopping point you wish.
Now go to File -> Save As and it should make a clip of your choosing in the original folder of the parent file.