After rereading the Integra's manual, and doing a lot
of research over at AVS etc., I think the output resolution
question is answered here...

<quote>

The DPS-10.5 is the company's first player to include an HDMI output, which is capable of passing video directly to DVI-compatible high definition display devices entirely in the digital domain. This not only prevents degradation of the video signal due to intermediate digital to analog conversion stages, it also enables the use of the player's sophisticated O-Plus FlexScale circuit to upsample video to a variety of customizable formats, including 720p or 1080i high definition standards. This scaling circuitry can also be employed to scale external sources via the player's rear-panel composite and S-Video inputs.

For conventional and older high definition sets, the DPS-10.5 features a high end Analog Devices 216 MHz/14-bit D/A converter, and includes both interlaced and progressive scan component video outputs.. There are also two composite video and two S-video outputs, and all video connections are always active, eliminating the need for extraneous setup menu configuration.

<unquote>

That's from Integra's press release.
The upshot is, it outputs de-interlaced and scaled video from
both HDMI AND component outs.
Frankly, I'm a little surprised that a new unit will output
upconverted HD resolution through component out. The few players
that have this feature are coming under fire from Hollywood
because of fears of pirating material, hence the HDCP standard
in DVI/HDMI. Component output bypasses this copy protection, and,
if I understand the issue correctly, will soon be illegal.

Anyway, FYI,
Rick