The DVD I rented had the movie with an aspect ratio of 4:3; was that the film’s original aspect ratio? It did not look like a pan-and-scan job. It was a very poor transfer, however, with washed out colours and a lot of pixellation.
Unfortunately, the replies to your post have been deleted, so I'm not sure what information you were given. I have to say, my DVD (which was, admittedly, dirt cheap) displayed the characteristics you've described. It looked like a transfer from an ancient, poorly aged VHS copy. The colours were more than "washed out" -- everything had a heavy green hue to it. The 4:3 was probably the result of a removed "soft matte" widescreen job.
The DVD was put out by a company called (I think) "Cheezy Flicks". Strange (and a bit sad, really) since it was quite a decent, compelling film; I was expecting something as hysterically OTT and laughable as Burton's Bluebeard, which is well worth watching for other reasons (at least two, hem -- plus the lovely score makes three), but something this effective and efficient really took me off guard.
TGG Direct, under license from MGM, has released this as a double feature with Alexander the Great. Both films are in widescreen. And it is indeed, the first time Absolution has been seen in widescreen on any video format.