You are going to have to invest in some faster storage. 1080i footage adds up quick (even with DVCPRO HD) and so does the processing overhead. I would suggest a low cost, unprotected (RAID 0) SATA array.
Agree with the display thing. I feed a 42" plasma with DCVProHD 720 and it rocks. Component out of the Kona is just fine, an AJA or Blackmagic SDi to HDMI converter looks good as well but rescales the pic so has it's issues as well. Point is I'd go the 108Oi Kona DVCProHD codec and use the power of the Kona for playback, picture lovin' and the like. What is the medium of playback in the Kiosk etc in the end? I've also got the same camera package and just projected a feature in fill size theater and it made me proud. Email me off list and I can go in to detail about the P2 to FCP thing in detail. Follow website to email link and have fun!