In Mac OS X 10.4.3 it is now possible to use RAW images in iDVD and iMovie projects. RAW images with a vertical (portrait) orientation may change orientation if you drag them directly into iDVD or iMovie.
In iDVD, this can occur when you add an image to the background of a menu or to a slideshow. In iMovie this can occur if you drag a RAW image file to the Clips Pane or to the Movie Timeline.
To maintain the correct image orientation, import the RAW image into iPhoto before you import it into your iMovie or iDVD project. Then, in iMovie and iDVD, access the image from their Media Browsers (in iMovie from the Photos pane, in iDVD from the Customize Panel's Media pane).
For more information on RAW images, see this document.
This document will be updated as more information becomes available.