Yeah, SD isn't very good on a HD set, DVD's look really good though and that's mostly what I watch.
Thin TV's all seem to suffer from bad sound, no room for good speakers inside I guess, they probably figure most people are going to use external speakers anyway, I do most of the time but when watching an old TV show on DVD it just isn't worth the effort to turn on the stereo.
My older (2005) Sony LCD projector TV has a great sound system built in, it even has a subwoofer, 30 watts per channel and no rattles or distortion on that set!