I'm not sure about the license aspect, but you can import WMV files into XP's free MovieMaker. From there I suppose you could edit it, or under the export options, save to computer and chose a high quality setting (1.5 or 2.1 mep/s I think) which creates an mpeg file that Premiere will recognize.
I used an older version of Premiere to do some work and saved some motion settings. It was convient to apply the same settings to other clips using the "Load" button in the motion settings window. I have upgraded to Premiere Pro but the new version doesn't have a "Save" or "Load" button...
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