So, I had the problems you're all having: 10.4 PPC Mac stopped playing video. The fix is to drop back to 0.8.6i.
http://www.videolan.org/mirror-geo.php? ... -intel.dmg
First, you'll want to delete all VLC preferences, in your user's Library/Preferences/VLC folder. There's another file in the preferences folder that needs to go too: it has VLC in it's title.
Now, delete the VLC app in your applications folder. Download the above older version, and install.
Ta-da!
0.8.6.i should be all the VLC you'll ever need, warts and all. Never ever, under any circumstances, update ever again.