Well, I had Best Buy check out my old Panasonic HT (it was on an extended 4 yr service plan) and they returned it back to me stating no fault found

Well the problem still existed and I went back, they said since it was within 2 wks of the repair they would swap it for something new
Well I decided to with Sony Home Theatre System w/HDMI (HT-DDW990). The speaker are small but sound very powerful. I am no audio experts like some of you here but it they seem pretty darn good. For the audio now I have HDMI in from the PS3 and Optical In from the PS3, seems perfect. Thing I cant figure out and I dont think it exists for this system is that Lossless audio only works via HDMI right, and this system cant handle it? How can I found this out?
I know it doesnt have a DVD player with it but I talked BB into giving me one, so I chose the Pioneer Upconverting HDMI DVD Player With 1080P and DivX (DV-400V-K) with USB input and HMDI upconverting.
Also is it worth keep this this? Is it good for the amp portion alone? I didnt go with a 6.1 or 7.1 as some places I have read mention it not worth it right now.
Sony Home Theatre System With HDMI (HTDDW990)
Link: Click HereAudio FeaturesDolby® Digital Decoding : Yes
Dolby® Pro Logic® II Decoding : Yes
A/V Synch : Yes (Fixed)
Digital Cinema Soundâ„¢ Technology : Yes
CD Playback : Yes (CD, CD-R, CD-RW)
MP3 Playback : Yes2
Dolby® Pro Logic® Decoding : Yes
Dolby® Pro Logic® II Decoding : Yes
Dolby® Digital Decoding : Yes
dts® Decoding : Yes
AudioAudio Power Output : 900W (140w x 5 + 200w (1KHz, 10% THD)
Tuner Frequency Range : AM: 530-1,710 kHz, FM: 87.5-108.0 MHz
Station Preset(s) : 10 AM, 20 FM, 20 XM
Tuner Type : AM, FM
Impedance : 6 ohms
Inputs and OutputsDigital Media Port (Input) : 1 (Rear)
Analog Audio Input(s) : 6 (1 Front/5 Rear)
Analog Audio Output(s) : 2 (Rear)
Coaxial Audio Digital Input(s) : 1 (Rear)
Component Video (Y/Pb/Pr ) Input(s) : 3 (Rear)
Component Video (Y/Pb/Pr) Output(s) : 1 (Rear)
Composite Video Input(s) : 4 (3 Rear/1 Front)
Composite Video Output(s) : 1 (Rear)
Headphone Input(s) : 1 (Rear)
Optical Audio Input(s) : 2 (Rear)
HDMIâ„¢ Connection Input(s) : 2 (Rear) up to 1080i
HDMIâ„¢ Connection Output(s) : 1 (Rear) up to 1080i
Antenna Terminal (AM Loop) : Yes
Antenna Terminal (FM 75 Ohm) : Yes
Headphone Input(s) : 1 (Rear)
ConvenienceTimer Clock : Yes (Sleep)
PowerPower Requirements : AC 120V, 60 Hz
Power Consumption (in Operation) : 200 W
SpeakerSpeaker Type : Enclosure- Closed Box
Woofer(s) : 1 (7cm)
Speaker Terminal Type : Push terminal
Speaker Unit : 1 (7cm)
Speaker Terminal Type : Push terminal
Speaker Unit : 1 (7cm)
Speaker Terminal Type : Push terminal
Speaker Unit : 20cm
Speaker Type : Closed Box
Speaker Terminal Type : RCA Jack
Speaker Type : Enclosure- Bass Reflex
VideoPicture Ability : Yes
Play Mode : Yes
Digital-to-Analog Converter : 12 Bit, 108 Mhz
Weights and DimensionsDimensions (Approx.) :Amplifier: 16 15/16 x 6 3/16 x 12 3/16" (430 x 157.5 x 310mm)
Centre Speaker: 6 1/8 x 3 3/4 x 4" (155 x 96 x 101mm)
Front Speaker: 6 1/8 x 3 3/4 x 4" (155 x 96 x 101mm)
Subwoofer:10 5/8 x 13 1/16 x 14 15/16" (270 x 331 x 380mm)
Surround Speaker: 6 1/8 x 3 3/4 x 4" (155 x 96 x 101mm)
Weight (Approx.) :Amplifier: 17 lbs, 3oz (7.8 Kg)
Centre Speaker: 1 lb, 9 oz (0.7kg)
Front Speaker: 1 lb, 9 oz (0.7kg)
Subwoofer: 18 lbs, 4 oz (8.3 Kg)
Surround Speaker: 1 lb, 9 oz (0.7kg)