Both DS4 and DS6 did fine with circle time and letter of the week even though they were both already reading chapter books at that point. DS6 used to be really excited about finding the best thing for the letter of the week show & tell. The teacher was very understanding. She let DS6 bring in his "paper" about planets and read it to others or teach the other kids about continents.
Like I said we didn't have any problems. From what I've seen half of the circle time was singing and reading anyway, part of it was weather and such and then a little bit of something else. I wouldn't be too concerned about it.
