I’ve updated to OpenELEC r12055 and noticed two things:
- 1080p is now an upscale from 720p;
- Subtitles aren’t appearing in 720p or 1080p.
I personally prefer to use 720p as the image quality is better, in the menus.
To fix the subtitles issue change to 720p, play a video and then pause it. Go to Settings->System->Video->Video Calibration . You’ll notice although you’re on 720p it will say 1920×1080. Correct the subtitle position and it’s done.
As a more simpler fix you can adjust subtitles position to Bottom of video.