This is an excellent deal for you. I have it and it works great. Overstock is pretty good, fast, and cheap. The monster cables are great quality too!
By the way, component cables are nearly equivalent to HDMI cables on 1080i. The optical cable will get you 5.1 to 7.1 sound *7.1 with Dolby PLIIx*. If you can't use the optical, use the regular stereo outputs from the PS3.