I need serious help with speakers

You mentioned "theater", so I assume straight movies is your priority, correct? If this is the case, and you're only using a receiver to drive speakers (although that receiver has nice sonics, albeit not tremendous power), then you would do very well to consider "horn loaded" speaker like Klipsch, or "powered/active" type speakers with at least powered built in woofers! the receivers sound rather week compared to even modest separates, and need all the dynamic assistance they can get! High sensitivity horns and speakers with powered/active drivers help receivers sound much much stronger and dynamic!
If you want to do a really potent HT with that receiver, I think, for really cheap comparatively, you could do something like Klipsch RB3's up front, and possibly in the rear(set up well of course..which is key to good sound always), and cross em over to "small" and let a good powered sub or two handle the bottome end! With the clean sonics of that receiver, coupled with the very dynamic sound from the Klipsch monitors, you'd be blown away at the excitement level and sound quality of this midfi system! I would bet you anyone who heard it, if you set it up right(and I've set up over 1000 systems), would be blown away by the pressence and quality you'd get from the sound for either movies or music! Yeah sure you can get some more musically refined sounding speakers, but not better for your applications really...and it would still sound plenty good for music!...trust me.
good luck...

I agree with Lthkeepr...if your mainly interested in HT, then go with something like Klipsch or Paradigm (I personally like Paradigm over Klipsch...I own the Ref Studio 100s, but the the two models below the 100s also rock). If you lean towards 2 channel, pick up something more refined like JMLabs or B&W.

I agree with Mdomnick. If you want a mix of music and video go with the Paradigms. Also, if you can find the JBL SVA series, they were great for home theatre. I prefer the non metal tweeter sound over the Klipsh. John

I am in your shoes Jamiegisi (except for the B&K that is). I am leaning a little more towards 2-channel, so I am going with the JM Labs cobalts. I watched a couple movies with the dealer on a Saturday (Boy, it sure is nice to find a dealer with a whole lot of time on his hands....went on a Saturday and no one but me came in, listened to music and watched movies all day!) I was really surprised with how well the JM's imaged in 5.1! I also heard them through a Denon AVR4800, and it even sounded good...I would imagine your B&K would sound quite a bit better even.

Z

I'll give a vote for the JM Labs, they are excellent speakers for an excellent price!