Movie transparency / masking?

I have an animation I’d like to include in Cannon Cat, but instead of using a spritesheet to animate it, I was thinking of using a movie. Does anyone know if movieclips can be played on on screen as objects in the game with transparency and or masking?

I saw a clip of Walter showing off movieclips on physics boxes. I was wondering if there was a sample someone could point me to.

Thanks! [import]uid: 27183 topic_id: 23504 reply_id: 323504[/import]