The Widescreen chopped into a small pic (Euro 2004 for example) is due to the Portugese TV. Seems that they don't record the programs in Widescreen.
The terrestrial pic is just the same as the chopped pic expanded to fit the screen. Sky broadcast in Widescreen format, whereas terrestrial (analogue) don't, so all Widescreen transmissions on terrestrial (analogue) are stretched, whereas their sky counterpart aren't........(confusing myself now

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EA