same problem, I dont use kino2 to play music tho.. I like tkcPlayer..
ive got the blanker script linked to an app key so i can shut off the lcd, wish I knew where the code was for turning off the back light when u hold the menu key, I would like to replace it with the code from blanker to just shutoff the lcd.
One solution I think might work would be to rename the suspend program to suspend1 and link the blanker program to suspend, this might just blank the screen instead of suspending.. I'll give it a try.
*edit*
guess there isint a program 'suspend', odd while you can type suspend into bash when I type 'which suspend' I dont find anything..