A Good CHEAP (Value Oriented) Receiver?

[FendersRule]

I'm trying to better my dad's entertainment room. As many of you know, I just bought the Fluance 5.1 set for him:

http://www.fluance.com/fluanceavhtb.html

However, I am in need of a cheap, decent receiver. I believe 100 watts per channel, and a system that is at-least of 5.1 qualities will fit the bill.

Many people will recommend the Oynko 606. The problem, is that they are nearly $350 right now, and they might be a tad bit overkill.

His room is the size of an average master bedroom (he has converted it into a movie room).

I'm thinking this below might fit the bill:

http://www.amazon.com/Sony-STRDG720-...9062959&sr=8-1

He is using a PS3 as his main player. If the receiver above is not good, what do you guys recommend for 200-300 (nothing over 300, and even at 300, he's going to be raking more funds than he probably wants). We just need something that will process everything over HDMI, and spit it out at 5.1 channels, with 100 watts per channel. Any other Bells and Whistles are not needed.