I'm sure all the above is theoretically correct, but I found that reproduction of Apple Lossless files through the SB3 was noticeably poorer than WAV or AIFF, even after checking that Slimserver was not transcoding ALAC to MP3 etc. So, I can understand that ALAC is not a compromise per se, but that's not quite how it works out with Slimserver and the SB3. As disk space is not a problem for me, I am content to use uncompressed storage in iTunes, which I find the easiest way to organise my music. I can't be bothered with FLAC, when Apple have made iTunes so pleasant to use.
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