It is not lost, per say, but it's certainly no longer anchored to the action occurring on screen.
Please recall that these audio standards were created to support large screen displays, at least initially. Thus, in a theater, either home or away, where all three primary channels are behind a perferated screen, their emplacement corresponds, if encoded/decoded correctly, to very near where the actions taking place on screen are located.
Forgive my assertion if you understand this. I very much appreciate the fundamentals behind stereo and multichannel setups. However, I often find that true stereophiles seem to agree that something that was spatially encoded can be moved around to support a non-HT standard. As a devout fan of several large orchestras, I have a good operating concept of where certain instruments are setup during performances: you likely do, of your favorite pieces/artists, as well. When some piece/artist is rearranged during a performance, or for a particular solo, I realize it: again, you likely do, as well.
If Lucasfilms specifically codes certain data to be in the "center", even the best processors do not make up for the physical lack of a transducer array in that position, regardless of price. There are too many spatial variables that are physically missing. Quite literally, the THXUltra 1&2 standards actually make an attempt, through re-equalization and time code adjustments, to account for a physical array. After all, the re-eq must deal with cabinet diffraction, reflections, and sub-modes created by nearby cabinets - even if wall mounted, behind a screen, & etc.
My thesis design project as a senior physics major was rooted in the beginnings of this thread. If you wish, I'd be happy to discuss further the variables that are neglected without a physical center channel - or the decoding requirements violated by matrixing the sound to either 1) the front L/R pair or 2) two center channel speakers (not really common anymore)...
Of course, what it all distills to is: do you appreciate your system as it stands? If so, who am I to tell you that physics and some rules from Dolby contend that you shouldn't?! ;)
Enjoy!