Well, what I would do is connect them together with a good quality scart lead (fully wired, individually screened). Whether you decide to go further with gold plating, oxygen free copper, etc is up to you and your wallet.
Then I would set the Panny up to deliver a 16:9 signal to the TV. (Settings, Picture).
The TV I would leave in either 16:9 or auto mode. You may prefer something else like panoramic. It's best to experiment with the settings on your TV but bear in mind subtitles and other items that sometimes appear at the top and bottom of the screen.