A method for processing signals in a communication system includes selecting, from a plurality of users, a first user having a channel gain that is greater than a channel gain corresponding to a remaining portion of the plurality of users. At least a second user may be selected from a portion of the remaining portion of the plurality of users, based on a feedback channel gain of the second user. The selected second user may have a channel direction that is approximately orthogonal to a channel direction of the first user. System capacity may be determined based on the selecting of the first user and the selecting of the second user. The channel gain may be defined by a quantized channel gain. A quantized channel direction of the selected first user may be determined for the selecting of the second user.