Bitstream or PCM on Blu-ray Player?

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Grumpy

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According to my Panny BD10A manual, the Audio default settings are as follows, choice being Bitstream or PCM:

a. Dolby Digital - Bitsream
b. Dolby Digital Plus/True HD/DTS-HD - PCM. The manual then says that PCM will be output as 2 channels.
c. DTS - Bitsream

Why on earth would you prefer 2 channel output on (b) above?  I thought True HD output would be 5 or 7 channels as opposed to only 2.

Explanations in plain English would be preferred. Capish?
 

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