Blu-Ray, Receiver Upgrade Path

[SN95GT50]

Current Setup
TV) Panasonic TH-50PX60U (720p/1080i)
Receiver) Pioneer VSX-D514
Speakers) Middle of the read speakers
Subwoofer) Klipsh 10"

I am getting a BluRay player for xmas, I can't justify a new receiver quite yet or at least at the same time. Knowing that my DVD player does not support HDMI but does support 5.1 channel inputs. I also like the ability to stream from Netflix for kids shows and spur of the moment watching, this is not a requirement but would free up my queue for movies I want to watch.

The major players are Samsung, Panasonic and Sony. To be able to take advantage of the improved sound, I need atleast 5.1 output so that limits me to the following models:

Samsung BD-P2550 ~$299
Panasonic DMP-BD55 ~$399
Sony BDP-S550 ~$349

If I understand this stuff correctly, the best sound quality comes from the HDMI, then the 5.1 or 7.1 output and downhill from there. This is why I picked these models and price.

First off, is anything I said above incorrect?
How good is the picture from Netflix? Wil it get any better?

Eventually I will upgrade to an HDMI compatible receiver (or what ever the new thing is) but, until then I gotta work with what I have.

I am leaning towards the Samsung because of Netflix streaming and price. Is there anything else I should I should be considering? Other models, other features?

Any advice would be appreciated.

SN95GT50