Text quality is excellent with the default sharpness setting (4 if I remember right). 5 and the letters have a halo around them. 1-3 and the text is a bit too soft.
If using Windows, you might also want to adjust the ClearType Tuner to a bit more softer setting. If you set letters to as crisp...
I have to agree with snclawson in that stretching 16:9 to 16:10 is not "fine" for me. Of course it is not as warped as watching 4:3 TV stretched to 16:9, but I still like to see things unscaled.
I am just a bit baffled why the screen does not allow 1:1 with the correct aspect ratio in this...