Ok, so editing/viewing these MOV H264 files is a royal PITA.
I just did some testing, you are able to convert 1080 24p or 30p from the 7D to 1280x1080 24p or 30p in Premiere Pro CS4/Adobe Media Encoder. The aspect ratio is correct despite the smaller width, do you lose some horizontal resolution, but the superior DVCPROHD codec and native editing in CS4 is worth it IMHO.
If editing from 30p, just make sure when making a new sequence to edit DVCPROHD, choose 1080i 60i, then click the "General" tab and under Video change the Fields to Progressive.
I just did some testing, you are able to convert 1080 24p or 30p from the 7D to 1280x1080 24p or 30p in Premiere Pro CS4/Adobe Media Encoder. The aspect ratio is correct despite the smaller width, do you lose some horizontal resolution, but the superior DVCPROHD codec and native editing in CS4 is worth it IMHO.
If editing from 30p, just make sure when making a new sequence to edit DVCPROHD, choose 1080i 60i, then click the "General" tab and under Video change the Fields to Progressive.