Need advice on <$1000 HT Theatre setup!

[liquidimpulse]

Right now I have two options, both are used.

Paradigm Reference Monitor 90P 5.0 setup for $700
One Pair of 90P monitor with integral power subwoofer
One pair of ADP-350 rear/surround with stand
One LCR-350
+
~$300 receiver(undecided on receiver)

OR

Energy XL-26 5.1 setup for $500
two XL-26 B-1 Floor Standing Speakers
one XL-C2-1 Centre Speaker
two XL-R Rear Bookshelf Speakers
one S8.2-1 Subwoofer
+
~$500 receiver(maybe yamaha htr-6260?(edited Denon 790/590/Onkyo 607)

which would u guys lean towards? I'm having a really hard going between the two.

I also have a ps3 and i know it's not neccessary to have a receiver that will decode DTS-HD/Dolby HD as it can do that on the PS3, but most receivers that have more power/channel tend to come with this feature.

I'll be using the system mostly for movies, gaming, and the occasional television PPV event.

[SivaNevets]

even though i love the paradigm setup more but its gonna sound bad on a $300 receiver.

if ur not willing to send more money ($500 at least) i would go for energy. receiver at this point is crucial. Denon 790 Onkyo 607 Harmon Kardon 254 would be my first picks. if you cant get 790 on sale get 590.

yamaha is not on my list for their bright sound amp sessoin for mid range avr.
their lower end are good for the money and their hi-end receivers are very good.

[`Aesop]

Personally, I'd go for the Energy set up. And I agree with previous poster on reciever choice.

[RastaManMax]

I got the 590 for my parents and it's very good for the money; the 790 would be wicked for $500 ish.