Suggestions on a good Stereo HT from $1000-$1500

A friend of mine wants a nice HT. I had one and traded it in for a high end stereo. I'm still of the opinion that a really good stereo is better than the same priced full blown HT, simply because a pre-amp, stereo amp and two speakers for X amount of dollars should sound better than a processor, 5-6 channels of amps and speakers for the same X amount of dollars.

Since his goal is only $1000-$1500, I need suggestions for him, new and/or used. I really don't know what to suggest at that price range. Thanks!