I've been asked by my brother to find him a HT theater setup. I have been out of the loop for several years (2003) and I am hoping that all you of wonderful folks here at audioreview.com can help update me on what's new and help me make some good recommendations.

What he has: Samsung 46" DLP HDTV (last years model), HD Cable Package
What he needs: Receiver, Fronts, rears, center, sub, possibly HD-DVD
Budget: $2500-$3000 (preferably closer to $2500)
He'll only Buy NEW equipment, not used or refurbished.
Room: its 1/2 of a living room (total room dimensions are roughly 20'x21' with the back wide open to kitchen and dining room)
Fronts: HAS to be a bookshelf size
Center: should match the fronts
Rears: mountable and under 12" high (being mounted on a 12" drop from a 10' ceiling to 9' ceiling) I know that its less than ideal, but its a requirement nonetheless.
Sub: Nothing too fancy needed but large enough to notice in such a large room
Receiver: MUST do HD quality video switching from HD-DVD and Cable Box (HDMI ?)

I look forward to your suggestions.

Here's what my preliminary list looks like: Paradigm Monitor 3's ($400), CC 270 ($200), ADP 190 ($400), PDR10 ($399), Marantz 5001 ($800), HD-DVD ($500). Total $2,700. I priced this out only because I happen to already own paradigm/marantz and I like the combo. I'm definitely open to comments, criticism, and smart remarks of my prelim picks.

Thanks to all!!!

My Stuff:
Marantz SR 8000
Paradigm Studio 80s v.2
Paradigm Studio 20s v.2
Paradigm Studio CC v.2
Paradigm Servo 15 v.1 (just sold)
Pioneer Elite DV-36 DVD Player
Media PC w/ Audigy 4 SC