The ideal image size for no distortion is 60 tall by 60 wide (pre-widening) and 60 tall by 90 wide (post-widening). The way I found out: - testflag.bmp is a square flag with a border every 4 pixels, starting at 84. - placed within-game (flagScreenie.jpg), you can see that the largest size that there is no distortion at slightly past the edge of the inner black border at 88 pixels. - also, (flagOverlay.jpg), the height seems to be mostly left alone while the width is shrunken to approximately 65% (from 88 pixels wide in testflag.bmp to 58 pixels wide in flagOverlay.jpg); this corresponds to taking a 58 pixel-wide image and multiplying it by ~1.5. (Note: I did the comparison via Photoshop with the image at 300% zoom.) This leads me to believe that a flag's image is ideally 60 tall by 60 wide, then the width is expanded by 1.5, so that the image is 60 tall by 90 wide. Since the flag images all must be 128 by 128, this means that the remaining 68 height-wise pixels and the remaining 38 width-wise pixels are meant to be border and trim (or at least distortable). I'm using even numbers 60 and 90 because 58 by 88 seems too arbitrary and is within the margin of error. I hope someone else finds this info useful.