How to keep image from stretching?

I have a relatively square image that has to fit in in a box on a template with relatively rectangular parameters. But no matter how I try to resize the image, it looks squished and distorted. Even when I use or do not use "keep aspect ratio", it still gets stretched. I don't want to resize the box on the template because I would have to move too much around.

How can I get the image to fit in the box and still not stretch or distort?

Thanks.

 

Put height and width to picture in html code. It will not stretched.

 

fixed. used iphoto's "constrain content" feature as a guide and it worked.