Thanks for replying, Gino. I've been watching DVD's for years on this TV, and I have the black bars on top and bottom of widescreen movies. On fullscreen 4:3 movies there are no bars, it fills up the screen.
But the setting for that is on my DVD player. It specifically has 3 options- Standard 4:3, Letterbox 4:3, and Widescreen 16:9. I have it set to Standard 4:3 on my DVD player, and that makes fullscreen movies display with no black bars, filling the whole screen and widescreen movies display with black bars.
I think Winston is on the right track, too. If I did connect an Apple TV to my TV using the Component Video Input, it would display with the right and left sides of widescreen movies cut off.
I wouldn't be watching widescreen movies from my Apple TV, though. Maybe eventually when I upgrade my TV, but for now what I want to use Apple TV for is for displaying my photos from iPhoto, watching movies I've created in iMovie, and watching a few (30 or so) music videos I have purchased from ITMS. And of course playing my iTunes music library.
Does anyone know how the Apple TV menu would look on a 4:3 ratio TV? If I'm going to be scrolling through my iTunes library, using menus etcetera, I don't know if the menu or submenu text would be cut off. I also don't know if my photos would display properly. The digital photos are all in 4:3 ratio, I haven't taken any pictures in widescreen mode on my camera yet.