Using directions above I see that I too have Version 1.01. I don't suppose that the upgraded firmware does anything for the loud popping and extended silence when switching listening modes or sources. This popping strikes me as being potentially more than just annoying. Even the muting and sudden resurgence of sound seems to pose a potential risk to speakers.
While I am generally very happy with SC-866 I wish that I had been aware of these issues before I purchased it from the Outlaws. I do love my 7500 amp and my outlaw LFM-1 Plus subwoofer. But these issues with the 886 make me a bit nervous about my purchase.