For DVD, just use optical or coaxial. There is no difference in audio quality relative to HDMI.

For DVD-Audio and SACD, you will need to use the analog output. My BDP-83 review has a link to some setup guides that can be a good go-by for the 980H

All of the above relates to using a surround processor. If you are going straight to the TV, you probably need to use analog either way. In that case, I'd still use the HDMI output rather than the component output.