Horns: Why don't they image well?

Most people's experience with horns is limited to VOT. VOT horns were designed for movie theaters and other such large rooms - not for your average living room.  A properly designed and built horn system can and does image realistically well. My experience with horns comes primarily from my long association with Dr. Bruce Edgar (Edgarhorn) who designed and built some of the finest horn systems I've ever heard. I've "rolled" some of my own and I assure you that they sounded and imaged remarkably well, too. If you're anywhere near So Cal I urge you to get in touch with Cyrus Brenneman (I can help) who has an exceptionally well sounding horn system based on Edgarhorn. Be prepared to be amazed. 

I love my Heresy III , unfortunately they've been boxed up for 6 months...  just got them to my new place and am picking up a nice BDI rack in the morning...  can't wait to fire them back up this weekend.   They sound way better than that Altec blutooth speaker I've been using.

Anytime you use a giant waveguide to spread high frequencies you are trading off a large soundstage (flat power response) with less precise imaging (since the highs are getting stretched over a wider area).

As I mentioned earlier there is a new Klipsch La Scala.  It is the model AL5.