I have been encoding my DVDs in HB 0.9.2 and I started with the Apple TV preset that now has the AC3 Pass-through. I think it also has the AAC track, either way I have them both. I will really only play these on a TV via Apple TV, doubtful I will watch them on my Mac (though they look great full screen in iTunes) and I rip 500MB versions at 400bitrate for my iPhone on a 480x resolution. And while I have a Dolby Digital rec'r hooked up via optical to the Apple TV, I figured it was safer to encode the AAC incase I get a 2nd Apple TV unit at some point and the other TV needs the Pro-Logic stereo track. I also switched to 2-pass encoding and turbo first pass (and then saved it as a new preset) and run most encodes on TS folders extracted with MTR so that I can process 3-4 overnight. The only other setting change I have made to the Apple TV preset is lowering the Bitrate from the default 2500 to 1500. I have done several tests and cannot see a difference between 1500, 2000, and 2500. The 1500 avg usually yields an avg bitrate of 1650-1950 anyway. Most are about 1775. On my 46" Samsung DLP 720p/1080i HDTV (set up as 720p on the Apple TV) the 1500 looks great. Down the line I can see this tv being replaced by a 53" at most. We don't really have room for anything bigger. To me it makes sense to save the file size and go with the 1500. What are most people using. The 2500? 3000 or more? And why? Do you see a difference?