I am using a HDV 1080-60i (1449x1080)29.97 clip with no editing on the timeline in PP CS4 which I "Send to Encore" with Dynamic Link.(All updated to latest level) I open Encore and set the project to DVD with the default settings. The clip is imported into Encore and I edit the Transcode Settings > Export Settings Presets, I set Format to Mpeg2-DVD. Under Basic Video Settings I select Widescreen 16:9. On Source I select crop and crop 12 pixels off the top and bottom. The Output Crop Setting is set to scale to fit. I Select OK and name the preset Test. On Exit I set the Transcode Settings DVD Transcoding Quality Preset to the preset Test. The Video is transcoded but the crop settings are Not applied. I assume the crop setting should be applied.
I have also edited the Transcode Settings for video imported directly into Encore (no dynamic link) and the crop settings were not applied.