I'm mostly reading pdfs and I'm using Foxit Reader to view them, because it's faster than adobe reader and it's for free.
I let some music run in the background, too.

Hey Hans,
I have read a few PDFs and a couple books using Project Gutenberg's bookmark system... but there are just too many distractions on the computer. ;)

I bought a Palm handheld in 2003 to read books on (and play the occasional game of sudoku!) and it is the best thing ever! I buy some books from FictionWise, but I mostly read Gutenberg books. I have a little defunct program that I use to make the books look decent on the Palm.

For text based books, I totally prefer to read them as ebooks. Unfortunately, not all new books are available in any kind of digital format... Disappointing! Then again, I do have hundreds of books from Gutenberg to read.

Happy Reading,
rift

During the last months I tried out several systems of reading e-books.
The easiest and clearest readable was for me the PDF Format. To selects parts of book I used Adobe Reader 8.0 with witch texts and illustrations can be easily cut and fixed in Office documents.
To make new PDF files from the excerpts, I use Primo PDF.

Hans