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Yep, the PS3 now decodes all the audio formats. I can't recommend it highly enough for a BD player, the response time is excellent, and it remembers where you are after the discs are ejected(I dunno how long it's memory is, but I plugged in Dirty Harry and started at the end, and I've watched like 6 movies since then).
As for AVRs, I haven't found Sony to sound as good as some other brands. If you have an Ultimate Electronics or other high end store like that, they should be able to show you quick A-B comparisons between recievers. I'm a Denon man myself, in an AB comparison against Yamaha and Pioneer, the difference was night and day.
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