That true, you can use the screen modes to get rid of the bars. Just use the one you like best. Its preference really. You may be cutting off part of the game image, but it is just personal preference.
They arent overscan adjustments. Say you are watching a 4:3 show on an HD channel. You can use one of the modes to stretch the 4:3 image to fill the whole screen of your tv.
Yeah, just use whatever picture mode you like best. If you go over to the display forum and find the thread for the panasonics (which I dont know the specific details of... I'm a Pioneer guy) they may have better info for you.
List price for an 1130 was around $6500, if I remember right. It's a great tv and I'm really glad I bought it
Its about a year and a half old now... didnt realize it had been that long.