The Proceed PDSD is the digital processor that would be replaced by the 9.8. It provides XLR outputs to 5 Proceed amps and a Velodyne SMS-1, as would the 9.8. I had imagined using the analog processing of the PAV, and passing the output of the PAV through the 9.8 without the 9.8 further processing it.
If my questions related only to me and my PAV, they might not be worth your time to answer, but they apply generally to anyone wanting to use an analog preamp with the SOTA digital power of a 9.8 or 9.9. After rereading Shane Buettner's 2006 review of the PS3 in Ultimate AV, I realize how much I've been missing by not having HDMI audio and the new codecs.
Thanks for your help.