I can confirm HDCD works through FLAC.  I have never used Apple
Lossless, but if it truly is lossless there shouldn't be a problem.

Yes, this has to be via digital input to an HDCD-capable
processor/receiver.  You also have to have full digital volume and
disable volume correction in the Squeezebox as this alters the bits.

What processor do you have or are considering?  My Marantz 8400
receiver has one more caveat: processing mode must be direct or stereo.
The HDCD codec must fully occupy the DSP and you can't use HDCD and
(for example) Dolby Pro-Logic IIx simultaneously.  This also applies to
CSII and the Marantz modes (virtual, multichannel stereo, mono, etc.)  I
would imagine other receivers probably have the same limitation.


-- 
Mark Lanctot
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