ipod advice

OK, so this is an "audiophile" forum but I like listening to music when walking (with my Nordic Walking poles!), etc, and I can't tow my LP12 behind me (well I suppose I could, but then I would get even funnier looks!).

Anyone have any recommendations on what ipod model to go for, how to import CDs (best format) and best sound quality headphones?

I assume ipods can't be put through an external DAC otherwise the traditionalists really would be quaking - a lossless digital source with no moving parts (or am I wrong?).

Any advice appreciated.

Phil

It would be nice if the iPod had a digital output, but it's essentially limited to its internal DAC. :( The Krell dock thing (KID?) allegedly draws a digital signal from the iPod but since it's connected via the multi socket I'm wondering if it's just a direct audio signal.