Blu Ray from the HTPC

With the newer cards being released, You'll get all of the newest codecs by just plugging up an HDMI cable and using it with a processor or receiver that accepts the new formats.

Here's the info on the card Patrickp mentioned in a prior post Asus Xonar HDAV 1.3 sound cards released .

That's completely true. Theres also another possibility.
You could potentially plug the cards analog outputs directly into an amp or powered speakers (like the Paradigm Studio's) as long as you didn't need to switch too many additional sources. Alternately you could take the output of a video card, like some of the newer ATI's that are 1.3 compliant, and plug that into a receiver that can decode the new formats.
Some very cool things are happening right now.

Which Blu-Ray CD ROM are you using? I've been researching this myself, wasn't sure which one to use or wait for BenQ to release theirs in Sept, if thats still going to happen.

I'm using the BD ROM made by LG, but I've heard others are as good.

Gmood1,
Do you actually work with S.T. or is the track just sent to a cetralized mixing studio? If you get to work with here directly (please don't take this wrong), is she as hot in real life as she is on the album covers? She sound amazing, I'm listening to her 'UP' album right now.