I do not plan on using a toslink with the Supermods DVD player, as it will be used in a second system as a stand alone player.
The toslink connection has been suggested as a way to reduce jitter, primarily to a dac. I have used three different toslink connectors with my DAC1 and the stock Pioneer DV-525 I use in my primary system. I now use the one that both Stan Warren and the old boys at the Cable Company suggest, (the Audio One Reference toslink at $150.) The differences were subtle to my ears, with the Audio One winning the techno art esthetic battle and remaining in place.
Did I ever mention how much I like my Harbeth C7ES speakers? [:)]