Which Processor?

I am considering the Krell Foundation or the Marantz AV8802 which will be used with one of Krell's new ibas amps. My speakers are B&W 802's and a B&W center channel. There are two other small speakers to the rear but these will be powered by another amp and are not a concern. The question is: Is the Krell Foundation worth almost twice the cost of the Marantz. Any thoughts will be appreciated.
I've used the Marantz AV8802 for years. It is an excellent processor for home theater. I use the Marantz for home theater only, I have never used the Marantz for 2-channel. I've never heard the Krell Foundation.
Here's something to think about:

Currently the tech landscape is changing, and the current pre/pros don't have the latest tech. If you are looking for something new now, you'll be lapped in about 2-3 months when the new gear comes out. For example, if you're looking to move to 4k (needing HDMI 2.0 and HDCP 2.2) in the next 5 years, or want the latest codecs, neither pre/pro has them.

I'm in a similar situation, and I decided to get a really cheap pre/pro now, and move up to Anthem's new flagship which should come out in January.
I just ordered the new Anthem AVM 60. It has HDMI 2.0 and HDCP 2.2 full 4K passthru all the latest codecs. It is 11.2 capable and the best part it is reasonably priced.
Look at the Classe Sigma SSP. Easy to set up and very high performance. See Sterophile review if interested. 

Marantz 8802A it has all the latest codecs and true 4K pass thru 
"I just ordered the new Anthem AVM 60. It has HDMI 2.0 and HDCP 2.2 full 4K passthru all the latest codecs. It is 11.2 capable and the best part it is reasonably priced."  

I have been eyeing the new Anthem ever since I read about it a couple of weeks ago.  I am amazed how they can slash their price in half without degrading(I hope) the quality of the product.

I just ordered Marantz  8802 processor which does the 2.0 4k has all the bells and whistles for half the price of the Krell

You have some great choices...
You have not considered Meridian.

Meridian G65 is a very Powerful and Analog sounding Surround Sound processor made !

You can go Active or Passive with the Meridian system
We offer the G65 for $4999.00
Combine it with the Lexicon ZX-7 Amplifier for Retail $8000.00
Now at $4500.00 when purchased with the Meridian.

Buy the HD621 at $1999.00
This unit separates the Audio and video signal leaving the G65 with no Video noise, making it the best sounding processor out there.
I agree with Smer319.  Meridian has, by far, the best sounding digital D/A's, DSP's and surround processors in the business.  Don't believe it ? How's this for a comparison - in the new Automobile magazine the editors of Automobile and Sound and Vision tested and auditioned the highest end integrated car audio systems offered by Mercedes-Benz, Range Rover, Cadillac, Acura, Volvo, Lincoln, Bentley, Infiniti, etc.  

The best sounding and measuring system, by a wide margin, was Meridian's system installation in a Range Rover.  They beat out Bose, Burmeister, Naim, Krell, Revel, Sony, B&W and many others.  Remember these were factory-installed multi-channel systems in $100K + cars.  Bob Stuart and his colleagues at Meridian are so far out in front of everyone else on multi-channel digital, and "apodizing" A/D and D/A filters that it is doubtful that anyone can catch them.  And this is coming from a die-hard analog guy.  

Finally, when Meridian's "Master Quality Authenticated" (MQA) becomes the hi-rez audio standard, you are only a firmware change away.  Everyone else will need a new processor to hear MQA to its best advantage.

This is great information......thanks.

The Krell Foundation will make the Marantz (and Denon) products sound soft, boring in comparison.  The level of detail, the snap, the weight of instruments, voice, dialogue, etc. is night and day better.  The Marantz/Denon gear is great stuff for the money, but the Foundation is HUGELY better in performance.  :-)