thanks for checking for me guys! Saves me a call to Denon and I assume it is normal just was odd to me that I didn't notice it on my friends receiver.
So far I love the receiver. I can't wait to get some pictures posted. Right now I mainly use it for stereo with my Klipsch RF-7II's until I get the remaining speakers for 9.2. For those of you who are wondering I have been experimenting with the iPhone app, FLAC 24/96, and Airplay. All work flawlessly however I cannot seem to get Apple lossless to work with 24/96 via Airplay which might be a limitation of the Airplay feature. Flac at all resolutions can be played a couple of ways:
1. You can browse a DLNA media server from the receiver OSD or your iPhone but some servers will not allow you to pause (using the receiver controls) for some reason. I have found foobar (dlna upnp component) and twonky to work the best, however, I don't like twonky's interface and it costs $. Windows media player works fine but doesn't really support FLAC. In any case you cannot seek during playback. A stupid complication of DLNA i suppose..
2. Using foobar or a similar program you can choose to "Play to" the receiver which initiates the stream without using the sometimes clunky OSD of the receiver.
3. iPods or iPhones can use the Denon app which is much like using the OSD of the receiver. It allows you to select the media server or Pandora etc. The only thing that annoys me is the slow artist scrolling which can only show about 8 artists at a time before needing refreshed. Just select the artist and hit play! Full volume, pause, skip, controls depending on the media server used but all of them have volume/skip in my testing.
Airplay works very well. I haven't been able to confirm 24bit Apple lossless streaming yet but everything works seemlessly. I love being able to browse my media collection from the Denon app and then control every function of my receiver. Wherever my media is (Apple lossless on the iPhone or Flac on the Windows server) I can always hit play.