Leedave,
You got some bad information in the beginning of this thread and I'd like to make sure that we clear that up.
First, you said you have a widescreen TV, also called a 16:9 TV, so you should ALWAYS buy the "widescreen" version of a movie if there's a choice between "widescreen" and "full screen" versions. The full screen version is only (marginally) useful for people with old-style (4:3) TVs.
Second, programming comes in all different shapes. Most TV programs are in 4:3 so they fit a standard TV just fine. HDTV programs are, by definition, 16:9 they will fit the newer widescreen TVs. A few shows are being broadcast on standard TV in a letterbox 16:9 format already including Enterprise (UPN) and ER (NBC).
Third, movies come in a variety of shapes with 1.85:1 and 2.35:1 being the most common. The actual dimmension used is choice made by the director and is based on the type of subject matter and shots he intends to use. Generally speaking, Sci-fi and action movies will be more likely to be 2.35:1 and dramas, comedies, etc. are more likely to be 1.85:1.
Your 16:9 TV is 1.77:1 which is close to the 1.85:1 that is used in a lot of movies. Once overscan is factored in a 1:85:1 movie will fill the screen on a 16:9 set. A 2.35:1 movie will not fill your screen vertically so you'll have small black bars at the top and bottom. This is completely normal and desireable.
When you watch 4:3 material on your widescreen TV, whether from DVD, cable, satelite or antenna, you will generally want to stretch it horizontally to fill your wider screen. You Hitachi likely has a couple of options that you can use although I'm not familair with the names Hitachi uses.
Widescreen material can come in two forms with each form requiring a different stretch mode. With regard to DVDs, the two forms are anamorphic and non-anamorphic transfers. If you have a non-anamorphic transfer (becoming much less common these days) you will have to use a special stretch mode which expands the picture vertically but not horizontally. This is also the same stretch mode that you would use with letterbox standard broadcast such as Enterprise and ER. (Some DVD players can perform this operation for you instead of you doing it on your TV) It's difficult to give you more specific information on this since I don't know the names of your Hitachi's stretch modes.
Lastly, overscan is intentional but many sets come from the factory with too much overscan. Ideally, overscan would be set to between 4 and 5 percent on all sides with the picture centered. Trying to achieve closer to zero will make it difficult to properly set geometry and convergence at the edges and could result in your seeing the edge of the picture if the source is properly centered. Having more than five percent overscan will result in useful image being cut off. You can test you overscan settings with an overscan test pattern available on most calibration DVDs such as Avia.
Here are some links that will provide more information on the subject:
[Link: thedigitalbits.com]http://www.widescreen.org/