So she had a DVD in the player, had the output set to bitstream, and had no sound? That doesn't make any sense.
If she uses PCM she's getting stereo, which at best is derived from 5.1 with Pro Logic steering cues incorporated.
I sent her all your settings including using bitstream and she said she had no sound but it was during this same period she still didn't have the optical input set to Dvd (thought she did) but yes she had a Dvd in.
By the time she finally did get sound she was pretty frustrated and it was set to PCM but I told her she needed to go back and try bitstream again...not sure she did. She was happy to have sound so she was ready to quit messing with it.
So since you verified that she's only getting stereo I need to insist she try bitstream again.