Advise please for best system upgrade under $2,000

The above is what's so great about Audiogon users. I just got a lot of excellent advice in 1 day from people that know their stuff and are willing to take the time to respond.
So, to summarize, it seems to me I should:

A. Improve my room acoustics with traps and diffusors and other changes. This would benefit the music now as well as down the road with any future upgrades.
B. Improve my interconnects and speaker wire. I know this is important but it seems hard to compare different brands and figure out what works best (a lot of trial and error).
C. Improve my Source either with a new CD/DVP (Marantz, Quad, Wadia, etc)or a separate DAC along with my current DVP as a transport.
D. Upgrade to a tube preamp. I currently incorporate HT with the pre/pro but 2 channel is much more important to me. So I could just use the B&K as a processor hooked up to a very nice tube preamp (BAT, CJ,First Sound Presence, etc.)

All great advice. Thanks everyone for your thoughts and time.

Option D and C will be the most effective for the amount you will want to spend for the upgrades, and they will also make the most noticable sound difference.

First Sound preamps have not remote, but they do offer a tape loop for your Video application needs. Its lack of remote is made up with really great volume control using holcro resistor controls. Remote volume controls add a veil to the sound that can be really difficult to compensate even with the convenience of a remote. Of course, you need to hear this sort of distortion in order to get a clear understanding of the sonic comprises between remote or high quality control.

Good luck in your task.

if you are looking for a tube pre with theatre out... would suggest the pse hl-1...really rare preamp. has remote(motor driven) and takes 2-6922/7308...

great sounding unit but really, really hard to find. they go for $1000-$1400.

pse is located a stones throw from audio research and maganapan... needless to say....maggies sound very, very good with pse gear(the studio V monoblocks are a great match) if you are unsure about pse- call magnapan and ask about pse.

Buy more music, you system is good enough.

Noble100, Address your room, you'll be much farther ahead in the game. Ever heard the saying "if ain't broke don't fix" well this is the road your going down IMO. Is your equipment broken? no it's not so why blow $2000. You can treat your room within that budget and you'll have a room that can rival many. Look at the room being the broken part, take a crappy system and put it in a crappy room, you get crappy sound, now take a good system and put it into a crappy room and what do you have? more crap and more broke!! Most rooms if not all need some type of room treatments and your room is no different, some need more and some less. A good place to start is with the Rives web site as there is gobs of info to take you as far as you want to go. They have many links to suppliers of treatments that will further your education. One thing I've learned with high end audio is if you spend ten times more for a component you don't get ten times better sound!!!
Just my 2 pennies worth and Happy Holidays to all.