[on2wheels52]

While I'm certainly not a "cruise type rider" my normal spot on the road is about a foot from the centerline. I don't find myself on many 5 lane roads though (and I'm guessing you mean 5 lanes each way). Other than commuting to work 99% of my riding is on one lane (each way) roads, or ideally on dirt (gravel) roads.
But the 'hugging the line' is a riding strategy I've developed over the years of riding. I can't explain it in 25 words or less but it's where I'm comfortable on the road.
re the cruiser guy riding there, that's not where I see them around here. They're mostly smack in the middle of their lane (like they don't know how wide their machine is). Unless there's two or more, then it's who knows wtf they'll be arranged in the lane. Just another hazard to be aware of and continue on my ride.
And look, if I'm reading your post correctly I see nothing wrong with what you did. You had your lane and they had theirs.
I could point you to a thread on "road captains" if you want some amusement.
Jim