I don't remember every theatrical experience, but I remember the look of Terminator because it was VERY grainy, almost like an underground film, and remember commenting on it at the time. It had a relatively low budget, unlike its sequels, which may explain part of it, or it may have been a...
Terminator should have film grain; it was shot on grainy stock and it was quite grainy in the theaters. If it doesn't have any grain, it has been over-processed. I can't tell for myself, however, since we haven't received our review discs for some reason.