Upgradation of audio system to full home theater package

After too mcuh of brain storming with various models and having gone through demos at AVMAX expo etc., the following was my way of getting into full dedicated 5.1 package.
I own AIWA NSX999MKII, a system considered to be of high quality and features even 11yrs back, when I bought it. Later I have added Pioneer surrounds and the dedicated woofer channel was left blank. With the DSP and spectrum/graphic EQ the system solved most of my hunger for movies, in a room of size 14 x 11 ft, connected to Pioneer DV383.
The idea of getting full package in one deal was on my mind for last few yrs with around 35 k and I have scanned net for all the options. I was not in favor of HTIBs. Keeping the money and available space in mind, somehow I got inclined to go for only AVR with center/surround in combination with existing FL and FR.
The result... Finally I got Marantz SR301 with Wharfedale WH2 centre/bipolar surround, with 16g cable for all the drivers and digital audio interconnect...
When I got the unit and pacakge attached to my FL and FR, I felt my purpose is solved beyond limit. The room is filled with effects from DD/DTS and really the package is worth buying, especially bipolar rears.
Things to be taken care in this way were, tonal matching of the existing unit's rating along with the AVR plus C/SL and SR. Hence, if any one already has nice spec system for music, he can look for better components in this way and upgrade the package slowly. Mind it, this kind of combination will not be nice for songs/mp3 and its better to use audio systems for that purpose.
Coming to 7.1 format, as long as u just expand 5.1 (source content) to either 6.1 or 7.1, the rear channels are mono and matrix of SR and SL, plus u need to have wide side and real walls for separation, even in HD contents. Hence, I felt its better to pump money in high spec and solid 5.1 AVRs / spks, if u have small room like mine.
Do you all feel, I am on the right path........
PL comment.