I'm guessing that the picture was taken from the seating area?

If so, M60's may be overkill. It seems that you sit fairly close...I'd recommend the M22ti's, and a decent sub. (Hsu STF-2)

As Tom said, your panasonic reciever I'm sure will be just fine unless you intend to crank the sound up very loud.

Once you have Axiom mains, you're going to want to replace your center and surrounds at some point as well. The leap from what you have to Axioms is not a small one.