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"How will the lower tiered BDP, not supporting DD, DDP, same for DTS's, treat audio/digital playback from a standard DVD?"

That's not correct. It is mandatory that all Blu-ray players support the lossy audio formats (DTS 5.1 and Dolby Digital 5.1) for DVD and Blu-ray. The Panasonic BDP-35, while only 2-channel via analog, will decode the advanced audio codecs (DTS-HD MA and Dolby TrueHD) to output as multi-channel PCM or even bitstream them to a capable surround receiver via HDMI.

Dolby Digital Plus is a dead format. It died with HD DVD, the format it was pretty much intended for since HD DVD had limitations on bandwidth/transfer rates.

The oppo is the player to get if you have a large collection of DVDs and want the best player-based deinterlacing of those discs. If you can get it, why compromise?

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