DO NOT USE iTunes! ;) My slimserver version comes with alac to decode
apple lossless. I don't know if it also does aac though. I would
suggest transcoding the whole collection probably overnight to
ogg/vorbis if it has to be lossy for space considerations. Yep, I know
it is not exactly what you asked for but I think if you've got
performance problems transcoding ss7 won't help. :( I could try to
transcode a file if you give me one. 
Regards
Jeronimo


-- 
jaysung
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