answer 1
One way to look at this is that the 2160 can select only one video input source (NTSC, ATSC, L1, L2, or L3) at a time, but can view a DVD title, HDD title, or video input source while recording. Thus you can record one of the video inputs while viewing from the DVD or HDD, but you cannot view one video input while recording a different video input. You cannot change the video source or channel while recording is in progress. You can view a previously recorded title from HDD, for example, while recording another. The autostart buffer does allow you to pause and move around a given video input while it is recording.
If you want to view one TV channel while recording another, the TV must use the coaxial RF pass-through and tune the other RF channel directly. If the channel is DTV, the TV must have a DTV tuner or a converter box in the RF link. The coaxial RF pass-through does not interrupt or substitute the signal coming from your antenna. The 2160 (recording channel) output does not appear on the RF pass-through output, freeing your TV to tune a different channel.
answer 2
I have been able to record or dub on this unit while watching another channel on my TV. Perhaps it depends on hook-ups, but I have not had a problem with it. I agree that the wording made me wonder if I would have a problem watching one program while recording another, but I have not had a problem.