I think you need to lay out your UVs better,With the model selected do a automatic projection(this is done to make sure you have all the UVs for the model in the UV editor) then move the UVs to one side,then try doing a cylindrical projection on the side faces and a plainer on the top and bottom faces. then its a case of stitching together. You should have a checker board texture on the model to see stretching..........dave

Edit:Snap genny