Why is it always like this.
Many hours of testing and no success. Creating a post in the forum and 10 minutes afterwards I find the solution.
In my case it was that PrimaryDevice in setup.conf needed to be set to 2 instead of 1.
The reason why I got a picture on xinelibout but no OSD was probably due to the fact that I of some reason used --primary as input parameter.
I think everything works now, sorry for the posting.
cheers,
lasseo