I have DOSBox versions 0.63 and 0.72 (just downloaded for Strike Squad
):
0.63 - only CGA
0.72 - intro EGA, rest CGA
Your newspic and titlescreen are EGA as we see. So you probably have 0.72 (or a little older version). 0.63 couldn't handle the whole EGA, 0.72 could handle it, but the switch from intro to game disrupts this somehow (the same goes for WinXP) - till now I can't say why. Under Win98 it runs in proper EGA for me.
Btw: Did the archive get larger (188 to 193KB)?