Hi all, and sorry if this has been discussed already endlessly, but am new to the Nano and iTunes. I consider myself an audiophile with some serious home audio equipment, along with a decent CD/SACD collection. With my new Mac Mini 2.26 320gb HD, decided to import about 15 CDs to iTunes. Purchased a 5G Nano (16gb) and Klipsch Image S4 earbuds to go with. After synching the Nano from iTunes, started experimenting with the sound on the Nano. Well, the default AAC 256kb VBR just doesn't cut it. Since I listen mostly to classical music, it was painfully apparent that the AAC files lose much of the ambience, soundstage, and multi-dimensionality. The music was flat, clipped, and uninteresting due to the huge amount of information loss. Now I know the Nano is not really meant for high-end audio listening, but after converting the same iTunes files from AAC to Apple Lossless and re-syncing, the music on the Nano was actually listenable and enjoyable for the first time. Much of the soundstage returned. So, my question is how many out there are using Apple Lossless on their iPods for the same reason? Even with the huge amount of space Apple Lossless takes on the Nano (16gb), I think about 30-40 CDs can be managed and stored there. Then when the time comes and the Nano fills up, the plan is to delete the files from the Nano and re-sync with a new set of Apple Lossless files from iTunes, as a way to rotate-in new music while keeping high quality sound. Anyone doing it this way?