I’m running into the same behavior. I’m just putting together a Quad 2.5 with a Kona LHe card. The system will be used in SD for the time being. When I select Macintosh Desktop in the Control pane of Kona LH Control Panel, the Primary (native) format is 720p 59.94 and the Video Format is greyed-out. It shows the frame buffer to be set to 720p 59.94, RGBA. All the outputs are down-converted to 525i29.97. But the Displays pane of System Preferences gives the choices of 1280×720 (interlaced) or 1920×1080 (interlaced) at 59.94. This is shown on an SD monitor which the Formats pane of the LH Control Panel shows to be down-converted. I don’t know if this is a bug or a feature.