Television and Home Theater

Hi, I hope someone can offer me some direction on whether to dump this tv or if it may be serviceable.
On two seperate occasions while watching the tv it was as if some sort of electrical war was going on. The actual picture was reduced to a small square of blurred images in the center of the screen then the tv cut off. When I turned it back on the first time it was fine. The next day the very same scenario except that this time it would not power on. I unplugged the tv from the power surger and left off overnite.

I own the Toshiba 26" Theaterwide HTDV (26HF85C) and am having an image size problem with it. The TV has 4 picture size settings all but 2 are magnified and cut the picture off quite a bit. The other 2 are normal which boxes the picture and puts white bars on the left and right of the screen and the other is supposed to fit the picture perfectly in the monitor its called full. I bought this TV mainly to play video games on but no matter what pic size I set the tv to the image is cut off, I tried changing the consoles (xbox, ps2) to widescreen modes and they are still cut off.

My Hitachi will not let me adjust the blue lines. I have no problem adjusting the red lines. Any help??