I also tried modifying the "scale" property.
noborder = the image is squashed to 50% its original size
showall = image stretches sideways ok, but it crops bottom and top
exactfit = same as noborder
I nested the swf inside a table with border 1 to see what is going on and i can see the bottom border is missing.
It gets worse in firefox where the table with the swf is only about 10 px tall and it's not even showing the swf.
here is an image of what is going on

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