When I have a less than HD either 720p or 1080p movie I like to reduce the size of the screen that it is showing in. Since I like to show my movies on a 1080p 55 inch lcd screen, I really don't enjoy having these 640 x 480 or smaller movies blown into a blurry mess. What I have done is make a piece of blue or other color footage and enlarge it to whatever length I need by dragging pieces from the event into the project story board. Then I open up a new event and bring in the less than stellar resolution movie. I drag this movie into the Project Story Board, and click on PIP on the resulting menu. I put a border around the PIP movie and enlarge it to a size that still has it sharp. Then I trim the movie to what fits. IS THERE ANOTHER WAY TO DO THIS?