That's because older games like KotOR use 4:3 aspect ratio. KotOR 2 supports 1280x768 natively, you have to enter the values in the .ini file as explained in the second post of this thread.
There are also widescreen mods for both games. Search for them in the KotOR subforum.
"They should rename the team to the Washington Government Sucks. Put Obama on the helmet. Line the entire walls of the stadium with the actual text of the ACA.
Fix their home team score on the board to the debt clock, they can win every game 17,000,000,000,000 to 24. Losing team gets taxed by the IRS 100%, then droned."