I was having the same issue. The only way I could get the v867 to display properly with the component cables plugged into the receiver was by setting the xbox component cable output to standard TV (this is a switch found on the cable itself next to where it plugs into the xbox), and then letting the receiver convert the signal up to 1080P...
However, this caused the image to look too grainy IMHO. So, I just plugged the component directly to the TV, and bypassed the receiver for the video. This way the image looked crystal clear. However, you'll still need to run either the L/R audio cables or optical cable (recommended) to the receiver for sound.
A bit of a side note...After searching the issue online. A newegger review mentioned this same issue, and said Yamaha CS got back with him and recommended he performed what the newegger called "display discovery". He didnt go into alot of details, just mentioning that phrase. Apparently it solved his issue. I've looked every where and can find no mention of this in the manual or online. Perhaps a more knowledgeable member can comment on this method???
If it is an HDMI issue, I can't comment. Some suggest trying other inputs.
By the by, if you fixed the issue...Please post how you did so...Either here or in the owners thread.
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