I'm not sure what compression to ALAC has to do with AirPort Express sound quality. Airport doesn't convert to ALAC - it is done in Itunes. Airport receives ALAC data in packets and using its own clock outputs S/Pdif stream. At this point the only think that counts is the jitter and it is function of clock stability on the Airport Express - it has nothing to do with formats or conversion.
258ps p-p is a little excessive since pretty much everything above 50ps p-p is audible but in spite of other claims Benchmark does incredible job suppressing jitter. Jitter is basically noise in time domain. I don't hear any evidence of noise. If anything sound is too clean. Situation is different on AE analog outputs where effect of jitter are very audible (jitter measured by Stereophile 2000ps p-p)
http://www.stereophile.com/digitalprocessors/505apple
258ps p-p is a little excessive since pretty much everything above 50ps p-p is audible but in spite of other claims Benchmark does incredible job suppressing jitter. Jitter is basically noise in time domain. I don't hear any evidence of noise. If anything sound is too clean. Situation is different on AE analog outputs where effect of jitter are very audible (jitter measured by Stereophile 2000ps p-p)
http://www.stereophile.com/digitalprocessors/505apple