Another variant of (or twist on?) this hint:

1. Set your "Importing" options in iTunes' "Advanced" preference tab how you like them. I like 96Kbps/VBR AAC files to fit a huge chunk of my library down to single DVD size....great for portability!.
2. Click into iTunes' "Advanced" menu (main menubar item), slide down to "Convert Selection To " and before you click the menu item, hold down your Option key and *then* click "Convert Selection To".
3. This will yield the "Convert Destination..." dialog box.

Convert your selected items to the format *and* destination folder of your choosing!

(If you hold down Option *before* clicking the "Advanced" menu, a completely different Convert feature is activated. Useful for converting items that reside outside your iTunes library.)

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