Marc, Mic D -- I run my V3 hot with good results. I'd like to offer a nitpick that may clarify the disagreement between you two and Rick:
I definitely have what one would technically call "clips" (3 consecutive samples at 0) on some of my recordings, and I'm willing to bet you do, too (unless the MMe meters are inaccurate). But they're not audible. And (gasp!) I even have a few on occasion that are audible (oops). But I've decided the V3 clips so gracefully I'm willing to take the chance of occasional clips in return for hotter levels over all.
So, while I've hit plenty of red in recording with my V3, I almost never encounter an audible clip. Perhaps your experiences mirror mine. If so, I don't feel this statement is necessarily at odds with what Rick is saying.
And a nitpick to Rick: the accuracy of portable DAT deck meters I've seen is notoriously poor, so I wouldn't trust my DAT levels a whole lot either until I'd verified their accuracy (or otherwise) against a more reliable metering method and could establish their relative accuracy.