Thats wierd. My movie had the same encoding settings as you. Did you try rebooting and not opening the media player/going straight to the file manager? If you post your exact handbrake preset (I think you can export a preset) I'll rip a dvd later and try that file out. At least it seems to be a bug with the player rather than an unsupported format. Hopefully it'll get fixed, we just need to get it in the bug tracker.