Denon with EMO
Go with the Denon AVR-3312CI ($879 Delv'd), plus an EMO XPA-5 ($799 Delv'd) or ask EMO if they have any "B" Stock.
The other way to go is just get the Denon AVR-4311CI ($1499 Delv'd), and Call it a day, as it has Audyssey MultEQ XT32 that will do both subs EQ, and 140W/Ch. with 9 Channels, and expandable to a full 11.2 -- The SQ of the 4311 is "Pure Audio Construction" and better than the 33XX series as I own both of them. With the 4311CI you should not need an external amp unless your room is Large and your speakers inefficient, but like the 33XX it also has preouts if you want to add an external amp in a year or two.
Either way you will be very happy -- if your only going up to 5.1(.2) and want the Extra KICK and Headroom in Power, then go the 3311/12 route w/ the EMO XPA-5, and it will Rock 'Em out with some serious and clean Power.
Call Electronics-Expo and talk to Mario in Sales, and have him give you his best Price for 3311, 3312, and 4311. That will be a better price than Amazon will give you -- been there, done that one.