I have a vague memory that the problems with margins when using tetex 2 has to do with the new version of the geometry-package. I also think that there's an option 'compat2', that you can give to use the syntax of the old version of the package. Have a look at the documentation for geometry to see exactly what's the name of the option.
/Christian -- Christian Ridderström http://www.md.kth.se/~chr