Sorry, I haven't read the whole thread. A lot of it is not worth reading. For the OP, however, I will provide a couple of opinions. The first is that a subwoofer is a critical element for home theater. If you have a decent sub, you can spend less on the other speakers and still get pretty good results. Take a look at the systems from Hsu research. They are subs with small horn driven speakers. If they have something in your price range, that would do fine. Speakers at these price points may not be ideal for music listening but I think the are fine for movie listening if they have a subwoofer.
The other thought I'll leave you with is the one I would choose if you do a lot of music listening. I would take the entire budget and spend it on a better pair of main speakers and forget the rest of them for now. Surround is nice but isn't a big factor for music listening and you can still enjoy a movie without surround. You could add other speakers as your budget allows.