I guess I have to support my own thread, because all of you are so quiet.

I got a HTIB 4 years ago, it's a Kenwood 507 receiver with 5.1 Kenwood speakers. I really enjoyed it at the beginning. After moving to a house from apartment recently, I noticed that it's a little bit harder to hear the conversation from TV programs or DVD movies, I have since calibrated the setup using Avia DVD and a sound meter, but it didn't solve the problem. Some of the postings here suggest to replace speakers instead of the receiver, that's why I am looking at speaker packages, to replace the one comes with the HTIB.

The room I have the setup in is about 30 feet by 20 feet, and I use the system primarily for TV and DVD viewing, my wife uses it during the daytime for backgroud music, but she can't care less how it sounds. I am planning to spend 500 to 1K Canadian on this.

I am fairly new to HT and I am open to any option, so please throw your ideas in, in particular, I am looking for the answers to:
1) Will replace speakers solve my problem, or I should replace my receiver? If it's the receiver, which one is known to work with my current speakers better?
2) If it's the speakers, should I go for a 5.1 or 6.1 package, or just replace the 2 mains first, then slowly work towards the back? Any idea what speakers work with my current receiver better?

Expert or a newbie, your input will be greatly appreciated!

Rick.