While Toho did indeed remastered all 28 Godzilla films for HD satellite broadcast last year (no Blu-ray release has yet been announced), there's nothing to indicate that Classic Media has requested or received Toho's new HD restoration of GODZILLA (1954) -- which would require them to pay Toho again. Of course, anything can happen... but don't hold your breath.

Here is a critical assessment of Toho's Hi-Vision remasters (with comparison screenshots)
http://www.wtf-film.com/ARTICLES/DECEMBER_2008/HD_GOJI_ONE.shtml

August Ragone
Author EIJI TSUBURAYA: MASTER OF MONSTERS

While I'm sure it will be an improvement over the DVD, as mentioned above theres two things that could improve this release: Getting the newly remastered version from Toho, and an HD print of the American version. I'll buy it nonetheless, but they should really look into those.

I am very disappointing that they aren't including an HD transfer of the American cut. There are private collectors out there who have great prints of it, who even tried persuading Classic Media to use them for the 2006 "special" edition, but they thought an ugly 20+ year old video master used for every single home video release up until then was "good enough." Talk about carelessness. *sigh*

Is this going to be the fully restored version that has been done? I read an article on Digital Bits that a full restoration has been done to all the classic Godzilla movies removing all the scratches and dirt. The dvd version was in horrible condition as far as wear and tear on the prints.

The Classic Media DVD transfer was beautiful, so I'm sure the Blu-ray will be even more awesome! Way to go! Can't wait for many more classic Gojira/Godzilla and other kaiju-eiga Blu-ray discs in future.