Here are some speaker reccomendations:
Check audiogon for details:
Onix Ref 1's, truly the best you are going to do with this budget IMHO
Rocket rs750 signatures
Usher Audio floorstanders, whatever's in your price range
odyssey loreli's (sp)
Again, I am going to reiterate, if you are going this direction, get the 4960 modded, you will hear the differnce with any of the above.
Amp wise, jvc frx-10, panasonic XR series, the new jvc hybrids, some of the newer icepower amps can be had around there if you want two channel, and I guess the sony everyone fluffs here though I haven't heard one and have heard they are a little briottle in the high end, but again, I haven't heard one. Digital dvd with digital amp will be your best bet. Search for any of these on audiocircle, lots of thread without the nonsense that is audioasylum.
These are your best bang for the buck speakers. I would put the ref1's up against just about anything, well, except the vmps audio stuff, but I think that's slightly out of your price range.
Regards
D