How Important is the receiver vs separates in HT?


I'm in the process of significantly upgrading my HT system.I haven't been serious until now.My first step is to upgrade my receiver.Next I will upgrade my speakers.The system will be used for 100% HT. After looking at numerous flagship Japanese receivers especially the Denon 5803 and the Pioneer 47&49TX,I am about to make the decision to buy the new B&k 507. My thinking is that the processors in all these units must be very similar. Also with the post proceesing being THX ultra 2 in all the models I am guessing I shouldn't notice much difference there. Does anyone disagree with my thinking re the processing of these models? I am leaning toward the new B&k because of it's amplifier.I'm told, but am not sure, the B&k has a better(bigger) power transformer and more Mosfet amplifiers per channel than any of the Japanese receivers.Also that the B&K is more open and less harsh sounding.Do you agree?? The only hestitation I have (so far) is that people with Lexicon's Logic7 keep telling me it's processing ability "blows away" DPL2 and DD-Ex and even DTS-Es.Is that true in your experience and if so is it worth the huge difference to buy the Lexicon Mc12 + an Amp?I will be running a system with 2 sides and 2 backs.Lexicon owners swear they always watch all movies in the Logic 7 mode and it always sounds much better than any Dolby,ThX2 or Dts mode. Can that processor be that much better? Sorry for the long question But this is major purchase for me and I don't want to make a mistake. Thanks
zbob
Thanks for the feedback.Magnolias will open soon in my town and I will audition the equipment before I buy it.I appreciate Tsrart's experience with Logic 7. It makes sense to me that 5.1 and Dts-es (6.1)would sound better after being decoded by those proceessors and it was hard to believe that the material would sound even better once Logic 7 is activated. Does anyone else have any experience with Logic 7 with 5.1 or 6.1 sources. Also thanks Phil for your comments re the B&K307. I had read it had some problems with "pops" while changing modes.B&K said they didn't want to put in noise reduction circuits because it would reduce sound quality?? Since you owned both the 5803 and the B&k 307 did you notice any difference in the sound quality(more open,less harsh....)power...etc between the 2 receivers.The 507 is going to have improvements but I assume the sound quality and power will be the same. Thanks again. Your experiences(and soon my ears) will help me make this decision.
Lexicon's Logic 7 does not use 7 discrete channels, rather it takes a 2 channel source and mixes to create 7, if that's what you like fine, but i'd rather use a discrete format like dolby digital-ex or dts-es. It seems like every AV preamp has its own brand of multi channel decoding from a 2ch source, it wouldn't suprise me if they were all the same considering how many of them use a third party manufacturer. Many of the other formats like THX EX, simply take the DD soundtrack and apply their own bass management and delay parameters, and are not real formats themselves. My advice would be to get the least expensive AV preamp that supports dolby digital-ex and DTS-es and then get a good 7 channel amp. At this time the outlaw 950 is probably your best bet. If you want to go the 1 box route, there are only a few companies that have a good amplifier section in their reciever and denon is not one of them. B&K and sunfire are the only two that i can think of that actually include a 7ch amp inside.
I have used the b&k 305 now for about 1 year. The nice thing about these recievers is that should you elect to go with seperate power amps you can do that at any time. Try the reciever first, then later audition a 7 channel power amp. I have been very happy with my 305 clean open with plenty of headroom for ht also sounds very good with dvd audio
I'm quite happy with a B-stock NAD T751 for $400! Its 5.1 synthesis from 2 ch stereo called "EARS" is really well done!