Hi,
I saw no distortion, but i guess in your player it distorts because ther is movement over the image. It happens sometimes that raster images get 'shifted' or 'distorted'. One workaround is to embed the rater image into a graphic and set its _alpha to 99%. It's just one workaround.. also having all images symbols on round integers is always a good idea. yours is at 0,0 so that was not the problem.