Randy I am not going to tell you that the amps are defective. To be honest I don't know one way or the other if they are defective or not. The one thing I can tell you is that they do not meet your needs or expectations. That alone should be enough that you would send them back and seek out other products that may be better suited to your listening environment. I think that your Denon is one of the best HDMI receivers out there at the moment so I don't think you need to replace that unless you need more HDMI inputs.

It would be nice if you lived closer so I could lend you my ATI amps to try out to see if there was any difference. Good luck with your decision.
2xM80 VP180 2xQS8 2xM3 HSU STF3 LG 60PS11 Denon 3808 ATI 1506 LCR 2xATI 1502 Oppo BDP-83