One-step method to convert from mkv to m4v for iPad

[panch]

Hi all,

I'm curious in knowing how many people are trying to find a solution to the same problem as I'm having.
I got an iPad a few months ago and am interested in find THE tool for converting my mkv movies (including subtitle in srt format) to m4v, including metadata and artwork so that it looks nice on the iPad when selecting video.
For the time being, my procedure looks like this:

1. Convert the mkv to m4v with embedded soft subtitle using Handbrake
2. Use Subler (for Mac) to input metadata and artwork cover
3. Drag the file to iTunes library

Even though there might not be an easier way to do this, I would still like some input on how it could be done more efficiently, or if people have other approaches to this 'problem'.

Specifically I would love it if there is a working tool for encoding and burning in the subtitle in the video. MP4Tools can do this, but I've had problems selecting srt files of my own language (danish) since it encodes special characters (ø,æ,å) as chinese characters.
So soft subtitles would do until the bug is rectified. Font sizes of soft subtitles on the iPad cannot be changed, however, and the default size is very small. So this is only suboptimal.
So I tried using Subler for adding the subtitle file and adding metadata while saving as m4v for iTunes.
However, Most of the mkv's use AC3 codec, and when using Subler to convert AC3 to AAC in the conversion phase, all I hear is a buzzing sound (Bug report:Link)

So, anything you people can suggest I try out?

[hech54]

Mac or PC?
I just added 7 (reduced size) movies to my son's iPod Touch by converting with Handbrake and adding artwork via CopyTrans(an alternative to iTunes).