Continueing the update.
The unit was returned without the fan to the power supply. This reduced the noise quite a bit, since it was the main culprit. The case fan still whines and is relatively loud. I think a reduction in RPM would effectively make that a non problem. I can't hear the CPU fan, which is good, it's probably not contributing too much to the noise. I don't feel any excessive heat coming from the top of the case, but the hole where the power supply fan was still is pretty warm.
I put the unit through it paces last night. I still have the problem with the transcoding of YPrPb to VGA and the VGA to VGA passthru. I'm hoping to get this resolved today. The VGA passthru problem is rather odd. Some background on the setup, I have a Mits ws65903 that only accepts RGBHV, I'm trying to feed it with their Directv received SR/HD5 which is YPrPb. Mits has a transcoder (CVT10) that convers the YPrPb to VGA. This feeds the TV quite well. When I take the RGBHV output of the CVT10 and try and pass thru the Leeza, the TV picture won't sync. I can pass the same signal through my Crystal Image scaler without a problem. The SD inputs all get displayed on the TV fine. I have described the YPrPb proble in a prior post.
I would also like to add, the output from my DVD player through the unit is quite good. I don't see any abberations nor problems with dark scenes. I'm currently using the SVIDEO feed from the Directv receiver which also looks suprisingly good, although I need to get some better cables for that.