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...but then you lose out on all the enhancements your processor can give you, such as time-alignment and, in the MC-12's case, bass management, surround processing, and more.

Not so. I have bass management with the 950 if I choose to use it. I have time alignment available through my SACD player. I have no need for further "surround processing" with SACD.
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Sure, I could run my 10Ts full-range through my MC-12's analog bypass, but then what's the point of a surround processor at all?

Well, I don't know about you, but I bought my 950 to use first and foremost as a 5.1/7.1 surround processor for DD, DTS, DD-EX, DTS-ES, etc.
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I've only listened to three or four DVD-As in my home, and no SACDs, so I'm not the best judge.

Why not? You have posted in this thread that, in your opinion, the MC-1 is superior to the 950 while admitting you have never listened to a 950.
You went on to say:
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But I recommend that you listen to both before making a decision.
Good advice- especially before passing judgement on a product- wouldn't you agree?
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But those are just my impressions. Your mileage may vary.
And it does, a little!
By the way, I'll bet your system sounds fabulous. I'm envious! Best wishes.