There are a few low power stations on the air with aspect ratio problems. Examples: One squeezes the picture into a 1:1 image! Another stretches the 4:3 to fill the 16:9 screen and the geometric distortion bothers me so much I can't watch it. I can deal with those using a converter box to NTSC output, but when I watch it with my DTVPal DVR and HDTV connected via HDMI, there is no way to undo what they are doing and make it correct. A scaling device like you have with HDMI in and out would be handy for those channels. I could put it between the DVR and TV. Doubt very much anything like that would be cheap enough though.
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