Opinion on AVR

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Hi Guys
I saw the following avr for sale http://www.pioneer.eu/eur/products/archive/VSX-420-K/index.html

from the following website http://purpleflytrading.co.za/shopping/index.php?main_page=product_info&cPath=292_463&products_id=7293

I know there are many guys here who have much experience in this field. 
This will be a basic home setup.
I like a nice clear sound.  I like to listen to music with good instrumentals
I dont have speakers as yet and will look into getting that as well.

Wanted your thoughts on this AVR - for the price is it good?
Question on the HDMI.  I know some avr output video and audio and some video only.  Is that the case with this one? 
How would I be able to look for whether it does that or not on the specs sheets?
If it does transmit audio and video does that mean that audio will play on my tv and no need to have the surround speakers on?

Thanks guys
 
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