First of all thanks markbuntu for well written instructions and your time and effort.
Unfortunately I have similar problems to Zarok with getting Digital output to work. I also share his sentiments as I have been using Ubuntu as my music player for a pretty expensive stereo for over two years without any sound problems only to have this latest release screwing everything up.
I have followed markbuntu's (and others) instructions and have sound via my PC speakers, but cannot get digital output to work. I have attached a few screen shots and config files; maybe I'm missing something obvious.
I do get digital output after the system rebooted (i.e. the drums) and I guess that this is before pulseaudio starts. I can also get digital output (the test tone) when I set the output to ALSA in the Sound Preferences.
Thanks
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