does anyone out there want to give me their favorite picks for rotors and pads and where to get them from?

My choice would be OE rotors and Axxis Ultimate or Hawk HPS pads (more performance and less dust than OE pads). With a BMW CCA discount rotors from my dealer competitive with on-line after shipping is figured in. Dave Zechausen (http://www.zeckhausen.com/BMW/E46.htm) is a good source for brake stuff.

im using axiss ultimate, and i recommend that you do not use cross-drilled. I just got mine and about a month later they were warped, im sticking with OEM from now on :)
I got mine from www.turnermotorsports.com