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MTS format is a high-definition MPEG, AVC, H.264 transport stream video file format which commonly used by HD camcorders, HD Pocket Camcorders, such as Sony, Canon, Panasonic.
.MTS files are used primarily with Sony hardware. Camcorders make use of MTS in the form of AVCHD, a recording format made specifically for camcorders. Some camcorder models from Canon also use MTS files. These files are also present on Blu-ray disc compilations, therefore they are capable of storing quite a large amount of information and data tracks.
VLC can play videos in the AVCHD format, a highly compressed format used in recent HD camcorders.
The latest version of VLC .92 can play mts files natively on you mac.
Download and run this application, drag the MTS Video to the play list, and then double click it. Now you can play MTS video on your Mac:
Tips: You need to have iLife'08 installed in order to play .mts files using VLC.

If you want to convert MTS, TS, M2TS files to DVD on Mac, you need a MTS Video to DVD Converter for Mac. I recommend iSkysoft DVD Creator for Mac. It is an excellent video to DVD Converter for Mac that can Convert MTS to DVD on Snow Leopard, which can be played on portable and home DVD players.
Step 1: Install Video to DVD Converter for Mac
Get the program for Intel Version
Step 2: Load MTS Videos to Mac DVD Converter
Insert your videos from your Mac. Click the Add button to load your MTS videos.

Step 3: Edit Video Files
You can "Trim" and "Crop" the video files and adjust the effects before burning the MTS Video to DVD on Mac OS X.

Step 4: Previewing the Project
After finishing all the editing, you can click the Preview button on the main interface to preview your DVD project.
Step 5: Burn M2TS to DVD on Mac
After you choose the correct DVD disk and the suitable video quality, you can click the Burn button to set burning settings and burn your DVD project. There are three output options: DVD, DVD Folder and ISO File.
That's all. You have finished to Burn the MTS Video to DVD on Mac os !
Convert video files including AVI, MOV, MTS, TS, MOD, M4V, WMV, MKV, FLV, TOD, etc to DVD.
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