les9596,

Personally, I'd try to get the TV on a flat wall. That way one couch would be the focal point. The was the pic is, surround volumes will be set for one couch but the other will be way out of whack because of the distance difference between them and the surrounds. Try to TV on the right wall; go with 5.1 - so LS goes away and CS becomes LS. Your left front speaker could go on the other side of the doorway if you can get the wires there - that would allow for the TV to be centered more. The sub can go where it is in the pic or in the lower right corner.

I think your allocation of funds is good. Going with a 5.1 setup instead of 6.1 will free up some $, along with the 5% package discount. You can also get the 2805 refurbed. This savings could get you M60s instead of the M22s if you wanted. Or you could get the PB2 sub. Don't forget to haggle on the price of the receiver too. I picked up a new 3805 for $900 at a B&M, which is only $50 more than a refurb was going for.

Pete