Have you tried Desktop mode, and setting a custom screen size?
I don't actually know how to do that, but the help file or PDF should have instructions
CS5 User Guides - online and PDF
The telecine wasdone as a 4:3 letterbox: that's why you see black bars in the capture window. However, the transfer to the tape (or maybe the original footage capture by the transfer apparatus) was flagged as 16:9; Premiere recognizes this flag, and that's why the video is stretched out in the capture window. Since it's DV, it really doesn't matter. Just capture it as-is, and then right-click on the captured AVI, select Modify > Interpret Footage, and set the Pixel Aspect Ratio to Conform to D1/DV NTSC (.9091). This will interpret the footage as 4:3, and the aspect ratio will be correct. There will be letterbox bars, but those are already in the footage. You could get rid of them, but you'd have to blow up the footage and lose resolution, so I'd suggest just leaving it as it is.
Once you've done this, simply drop it in an NTSC DV (not Widescreen) sequence, and edit as you need to. From there, you can export any way you see fit; MPEG-2 DVD is fine as long as the other company is just doing the DVD authoring, but if they are doing any further editing, you probably will want to just export back to tape to maintain the highest quality.
Thanks for the suggestions. That's very helpful.
I'm in the process of capturing the video and did Tape 1. However, when I try to import it into Premiere Pro, it says that it's an unsupported format. The properties of the file that I captured are below. It's clearly an avi file that I've captured, only PP doesn't seem to like it. Any clue as to what's going wrong this time?
Correction on the last reply post. I just found out that the Capture didn't really "take". Just 127 KB were in that Tape 1 file. Perhaps there's something else I need to do with the Capture feature of Premier Pro beyond simply clicking the record button and waiting until the end of the first tape runs out? Sorry for the newbie sort of question. I just expected the capture to proceed automatically, since the whole tape was played in the record mode. Maybe I should set in and out points?
Use Gspot to find out what you have after capture: Gspot available here
I would shoot a short bit of footage, and capture that so I know that it is working. I just have to wonder what is on the tape.
You have time code on the tape, right?
There's just something worrisome about a workflow that starts with 35mm and goes to DV as an intermediate.
Thanks, That's helpful.
I'm going through the capture again - after watching the Lynda clips about capturing - and it should work now. But that Gspot will be very useful.
Agree about the workflow problem.