Chris,
At some point the data needs to be PCM. So if youre going to make a DVD-r for playback in a device such as a M 800 or CD-r for playback in your car or other CD player, it needs to see PCM. You would need to convert to WAV (or aiff on apple) before burning that audio CD. suppose Meridian supported FLAC, and had a FLAC "decoder" in the hardware, then you could copy the FLAC files right on to the optical disc.

You might be best served just keeping the files in WAV format.

Best regards,
Jerry
Main System: 861v6, DSP8000s in corners, DSP7000s Center and Sides, 1-9 humans.