Well, I looked at the datasheet for the part you ordered, and on page 10 where the pin descriptions for the RGB input pins are it says, "Selectively controlled by IIC Bus to convert RGB to YUV." I think that means that it doesn't start out in that conversion mode by default. I could be wrong though, hopefully it will work for you.
It's odd that the schematic links to yahoo for you, the link works fine for me... What part of it were you having trouble understanding?