Puggo - Jar Jar's Yoda said:

I've got the width stretching properly to 1280, but I'm not sure how to encode the height to 720 so that it adds black bars. Right now I'm encoding the height to 480 (i.e., leaving it as-is), and luckily VLC and GOM are adding the black bars on playback. But I'm not sure how to add them in the context of using xvid4psp for resizing. Should I resize the height to 720 in Vegas first, and then stretch the width in xvid4psp?

By the way, everyone, try out GOM player. On my 58" screen, with this clip, it does a better job than both VLC and WMP.

You can add the black bars in xvid4psp to get it to 1280x720. I don't remember how to do it off the top of my head, and I can't get to my computer right now to try it out because my dad is sleeping in there. If you can't figure it out, I will eventually get to my computer and try to help. :-)