Select items Select timeline you want to fit to Run action "Item: Move, stretch, and loop items to fit time selection." Items are stretched correctly, but action doubles items on top of them. ( And you need manually remove them, which is annoying ).
I found another action called: Item: Move and stretch items to fit time selection without "Loop". It works as expected! ( no double items on top ).
Confirmed: (v5.33pre3, Windows 8 x64)