HD-A2 Output format

Here's my gear: Toshiba HD-A2 w/1.3 firmware, Onkyo TX-SR674 and a Vizio P60HD Plasma. I have the DVD player into the receiver by HDMI, and then from the Onkyo to the Plasma by HDMI.

Sometimes when I just turn on the system, a blue box appears that says something to the effect "High Definition output prohibited, resolution set at 480P" It only lasts a second or two, the goes away so I am not exactly sure on the wording. After that I can push "display" on my A2 remote and it says 720P so I guess it is.

I am a little concerned because all the gear is 1 month old and I have been watching SD DVDs and I've been really impressed with how good they look. But today I rented The Mummy in HD DVD and it didn't really look any better? I mean it looked fine, but I was expecting something awe inspiring.

I assume 720P is the preferred output for my non 1080P TV? Also there is a setting I wondered about: the Film/TV/Auto setting? What does it mean?


Thanks


MIKE