A/V receiver and speakers system recommendation

I just bought a Samsung HT-TX75 HTIB and i'm really dissapointed. I will return it to the store this week and get a new home theater. I decided to go for an A/V receiver and a 5.1 speakers system. For the DVD reader i will buy a HD-DVD reader or Blu-Ray reader this fall or next year.

I searched the web for informations but all audio web sites i found review 3000$ pro systems only or system not generally avalaible in Canada. I don't have this kind of money to spend on a home theater and i don't want to drive 10 000 Km to find a little niche pro audio shop in north Alberta that have this shiny ellistic 7.1 pro audio system .

Here what i want

- Budget 1200$ CAD (Canadian dollars) Max for the A/V receiver and speakers.
- Good audio quality for stereo and Pro Logic 2. Specially for rock music.
- Good audio fidelity for mid-range and treble again for rock music.
- Oomh not a priority i don't want to wake up the neighborhood but this must shake a little when i pump up the volume.
- At least 2 opticals inputs, one digital coax input and another input digital coax or optic.
- One stereo output (For my wireless headphone). One stereo input a plus (just in case).
- HDMI Switching a big plus since i'm missing one HDMI input for my HDTV.
- Good sound quality while listening with a low volume level (this is my main problem with the Samsung HT-TX75 HTIB).
- USB input or iPod compatibility a plus.
- Support for Dolby Digital 5.1, DTS 5.1, Dolby Pro Logic 2.
- Style a plus if possible i don't want my system to look like an original Star Trek serie device.

I don't know much in sound system so i'm uterly lost here. For me this is like chinese i don't know what too look at. Here a system that look okay.


Harman Kardon 5.1 Channel HDMI Receiver (AVR147)


With

Harman Kardon 5.1 Home Theatre Speaker System (HKTS15)

Total cost of the system is around 1200$.

But i don't really know this is an entry level system maybe this is not better than the Samsung HT-TX75 at all. Help me please. Recommendation for more than one company would be appreciated. Also keep in mind that systems here generally cost 100$ more even after USD to CAD convertion so a USD 500$ receiver will most of the time cost around CAD 650$. Thx in advance.