Volumetric radial lights. Set at about 15 brightness. And somewhere between 15 - 30 softness. 5 lights used. Three as part of the objects and two as fill lighting. The colors come from the lights themselves. Linear falloff, but not much else - since I'm only using Bryce 4. I want to say the material was the cotton ball material. This is the one in the volumetric library, not the clouds one. Oh yeah, the clouds and lights were also contained in Crystal spheres. Which were made of aptly named material in the glass presets library. Then it was a matter of aligning the lights to the spheres in the objects. I'm not sure how much that matters tho.

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Barbequed Pixels?

Your friendly neighborhood Wings3D nut.
Also feel free to browse my freebies at ShareCG.
There might be something worth downloading.