Image Script subtitles are distorted and pixelated in Encore, PNGs look fine in Photoshop.

The subtitles were delivered from a professional captioning facility and everything appears to be standardized as far as formatting.

The first few lines of the .TXT file are:

------------------------------

Display_Area (000 000 1920 1080)

directory V:\xxxxx\BD_Subtitles_NEW

0001  00:00:00:03  00:00:03:27  SNPA0001.PNG

0002  00:00:14:23  00:00:18:12  SNPA0002.PNG

0003  00:01:06:17  00:01:10:01  SNPA0003.PNG

------------------------------

Each PNG is 1920x1080 and beautiful in Photoshop.  Here's a link to one: http://creativelybankrupt.com/encore/SNPA0014.PNG

And this is how it appears in Encore: http://creativelybankrupt.com/encore/subtitle_encore.jpg

Any ideas on why the PNGs appear to be scaled and distorted upon import?

Thanks for any assistance!

-Edit to add that I am using the most recent versions of all Adobe apps.