Yamaha Receiver sound cuts out with Dolby Digital.
Your problem is related to HDMI technology not the Receiver. HDMI in it's current version 1.3b has worked out 90% of the current problems being reported by HDMI users. it's a problem with HDCP digital copyright protection and the recording industry not wanting us "consumers" to duplicate or record their DVD's. Your receiver and every other receiver with version 1.1,-1.2, & 1.2a just don't cooperate with BluRay and even HD Cable or HD Sat receivers. If you just purchased this receiver recently, return it and get an 09' model or equivalent with 1.3a or 1.3b HDMI technology. If this unit is "un-returnable" then, what needs to happen is you need to run component video and digital audio to the receiver OR Run your HDMI directly to your TV and run a Digital Coaxial to your DVD audio input on the receiver. Depending on how many sources you are running to the TV via HDMI will be limited to the TV's capability (how many HDMI inputs)
Now, if your TV is 50" or smaller, the difference between running HDMI and Component is unmeasurable to the human eye. So, if you have to run component, don't sweat it! just use good cable, ie. Monster, Phoenix, Translucent etc. I do theese installs every day, and I still prefer Component or DVI if available over HDMI. They just haven't proved the reliability to me yet and we're three years in! Hope this helps