Yeah, perfect description of the switch operation, bhduxbury. Very annoying.
As for why the bose cuts out when you unlatch the top, I guess it could be about the surround settings, but I get that audio cut-out and I have surround set to "off".   I have no rational explanation for it.  Just another of the many wierd quirks of the electronics in this car.  They should get some japanese consultants or something.