Thanks Grador. I downed 3 largish shots of Tequila and sat and went through every menu all over again. I went back to the Confluence skin which seems easier to navigate for setup issues. I found a setting that I didn't anywhere in AeonNOX. In Confluence, you have your audio settings where you select HDMI up top, the codecs, but in Confluence there's options to scroll through which HDMI to what source. It was set to HDMI, but as I scrolled through I saw that it listed HDMI and my receiver. I selected that one obviously and now everything's fine... All the little lights light up as they should. I went back to AeonNOX and didn't see the two HDMI out options anywhere.
I think I need to take a couple days off from this. I'm just getting pissed off at everything. It's all user error, but it takes forever for me to figure it out since it's all new and have zero experience with XBMC. I think I'm just going to leave it off for a few days and just rip bd's.
Thanks for chiming in so quick. I appreciate it.