I have a Denon 2805.  In "Direct" or "pure Direct" mode, it really is
Analog all the way through (does NOT do A-D-A conversion), although it
does go digital in Stereo mode.

Personally I found it sounded significantly better using analog out
from the SB (I was using an SB2), even using not-terribly-expensive 
cable, ie I preferred the SB's DAC to the Denon.  YMMV.

YMMV
Ceejay


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