I liked both the AVR-247 and 347 models (two of my very close friends have both). They seemed to be very capable models for what they could do.
At CES 2008 I took pictures of these new models which at the time were actually labeled as the AVR-347, but it had HD-audio logos on it. I knew there must have been a badging error, or HK hadn't finalized on a name yet.
Considering the power increase that both the 254 and 354 are gaining, in addition to the HD-audio and HDMI 1.3a spec and everything else, I bet HK does the HT market good this time arround.
Plus they look like Space ships, and I love that.