I have a Constant Height setup with a 2.35 ratio screen, 51" x 120" and combine my Sanyo Z2 with a Prismasonic anamorphic lens. When watching 2.35 movies I get the full benefit of the screen with no black bars, when watching smaller aspect ratio movies, the height stays the same, however, I mask the sides. The picture above of the movie Napoleon Dynamite is a 1.85 movie so I'm using 51" x 94".
If you get to close to the screen you do see the Screen Door Effect, however, if you stay back 1.5 times the screen width or further, it is a none issue. On a normal 16:9 screen watching 2.35 movies as you know you get black bars on top/bottom. 33% of the pixel panels are not being used. With an anamorphic setup and scaler, you make use of those lost pixels, so you can have an increase in brightness upto around 20% or more, depending on the projector.
Here is the link to a post I started some time ago with pics of my setup so far. There is a thread on AVSforum for people that use a 2.35 Cinemascope setup, I'll never go back to a 16:9 screen...
http://www.axiomaudio.com/boards/showflat.php?Cat=&Board=HT&Number=110103&page=5&view=collapsed&sb=5&o=0&fpart= 
