. . . or mch PCM . . .
IOW, for tom67, I generally equate HD audio with lossless audio.
There are things like Dolby Digital Plus, that is very close to lossless, yet is not quite . . . but I can't think of any Bluray that I've watched with that codec. I do remember a couple of HDDVDs, OTOH.
For sshasan, the first things I'd look towards are video output settings on source(s) and receiver (if there are any).
If your plasma is a "720p", which really means "768p", then you will want to feed 1080p signals (assuming your TV accepts it), and not have either receiver or player scale a 1080 source into 720, because the TV will have to scale one more time anyways to get it to 768. Well, that's my first shot in the dark.
As you can see, it's always best to list the model numbers in question. "Vizio plasma" might not be specific enough.
If the TV can only accept up to 1080i, I think it gets a little more confusing, because interlacing/deinterlacing comes into the equation. Ok, nevermind that last part, I'm now confusing myself.