Philips HTS5550

Suggest you to increase the budget slightly and get Yamaha 196. It should be around 20K and comes with lots of connectivity options.
 
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THD - Total Harmonic Distortion. For a good system it is less than 1.
For Yamaha it is 0.06%( 1KHz, 50 W/ 6 ohms)
For Philips it is 30%

When a signal passes through a device, additional content (noise or distortion) is added at the harmonics of the original frequencies. THD is the measure of that. So when a signal passes through Philips AVR 30% of the signal get distorted whereas in Yamaha it is only 0.06% (for 1kHz, 50W) which should be close to 5-6% on entire spectrum at rated power.

So in layman's language, you won't be able to hear dialogue properly. The music and sound effect will not be pleasing to hear.
 
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