I guess since this is a dvd format, it doesn’t allow me to set to 2.35:1. I’ve already tried not touching the padding, but I get a 2.35 image rendered to a 1920×1080 frame. I’m not sure why, and compressor wont allow you to change dimensions (I’m guessing again because it is a dvd format?) Compressor’s preview makes the output look perfectly fine, yet when it does come out we get a vertical skew.
here are pics of the settings and the skew:
settings: 
screen: 
Thanks for the quick responses!
Kev