Lcd assistance with Blu-ray

[jstutman]

I own a Vizio 37"VU37L LCD, I am very new to BD so I have some questions. I currently use the PS3 for BD playback.

When I playback a BD movie, the screen shows widescreen type Black bars on every movie I own. Granted I only own 3 (tranformers, I am Legend and Dejavu) so I was wondering if this is normal, or if its a setting in the PS3

I also had a question about the LCD itself. While changing settings on the PS3 I was able to change it to what I call 1080P. Technically the LCD says is is not 1080P

With 1080i signal capability and 3-HDMI inputs including a side access gaming port, you can now enjoy the perfect balance of form and function

http://www.vizio.com/product.aspx?id=2719&pid=1698

However I can change the setting on the PS3 and the display on the LCD will change from 720p to 1080p. When I am viewing cablebox via hdmi, it says 1080i so is it possible the LCD will do 1080p and the tech specs say it does not?