All depends on the budget, how future proof you want it, etc..
I'm also a fan of lower volume, speaker companies, stuff you'll usually find in specialty stereo shops. The lowest range of their products is usually much better than stuff you'll find at big box stores.
For a receiver, i'd look at
The new Yamaha RX-V663/HTR-6160 (same unit, different retail chains) It might be available now..
Both of these are 7.1 Receivers that can handle the newest HDMI standards, and process all of the new audio formats coming out. Very future proof, and the Onkyo can be had under $400 as well, the Yamaha just came out so it'll prob stay at it'* current prices for a while.. A great thing about these two receivers for your setup, they both convert everything to HDMI, so you could run all of your gear into the receiver, then it all goes down 1 HDMI cable into the LG Panel.
Speakers, I'd consider
Paradigm Atom or Mini'*. http://www.paradigm.com/en/paradigm/...1-2-4.paradigm
I recently got some of these mainly for surround duties, but they're an awesome speaker for music and movies. Pretty damn good bass on their own, but with a sub you'll be set for movies.
X-LS Encore is pretty hot these days, http://av123.com/index.php?page=shop...mart&Itemid=37
Never heard them myself, but people rave about them.
Both of those are around $300 a pair, Other'* to consider are Polk Audio @ Circuit City, they have some great stuff for less than $200. Can probably find cheaper prices online.
Cabling I'd look at www.monoprice.com
No need to go spend big bux on something else.
Here'* a huge thread on a big A/V forum, http://www.avsforum.com/avs-vb/showthread.php?t=809777
that discusses great ways to get into the audio game for prices similar to the HTiB setups. Components and *real* loudspeakers allow for upgradeability, swapping out individual components, and you can build it to suit your liking.
You can get a pair of bookshelves now, get some speaker stands, and use them as your mains for now, and if you'd like to spend more, move them to the rear later, and buy some floorstanding speakers later.
I just hate to see a nice TV setup with much less sound.