I wanted to thank you all for your input! Great ideas here. I took a couple of quick shots of the room where this will all be happening, feel free to browse and opine if you'd like.
fredk -
As this seems to be the most economical choice, there's no harm in giving them a try and see how they feel in the system. Good suggestion - I may just try this.
AVRat -
Ok, so 5.1 seems to be the way to go with my layout. I actually thought of moving the couch forward, but getting anywhere close to 5 feet wouldn't work (perhaps it's time to replace the couch...

) I could probably get 2 feet or so, just barely enough room to stuff the bookshelves in the back on their stands. Not ideal imaging I'd suppose?
I'm def going to check these subs out, thank you for the suggestions. I've been reading nothing but praise for the HSU subs on this board.
lsiberian -
It's looking more and more like getting those c2's up on the walls or behind the couch. Based on the pics above, perhaps one good sub would suffice?
Is it even feasible to wall mount bookshelf speakers? That was my concern with using that type of speaker for the surrounds, with placement, etc.
Pay no attn to the wall mount currently up on the wall. The panasonic that I retired used to be hanging there. I'm still shopping around for a decent mount for the pio - can't decide what to get, besides, I've got a week to kill anyways since I'm currently running the wonderful and ever so colorful break-in dvd.
Really good input here. I appreciate the time and effort.