Some blog entry led me to this review of Eucalyptus by Things Made out of Other Things last night.
Eucalyptus is the best ebook reader for iPhone I’ve seen. Worth it for little more than the cost of a paperback (ten bucks). The pinching to zoom out is priceless and the comfort of the book management beats Kindle for iPhone hands down. The page turning beats Stanza. (And I don’t miss Stanza’s annoying, fake page turning sound.) And the book selection beats Classics, though I think Classics is still a pretty nice and unique offering.
The Eucalyptus developers got my ten bucks on the strength of the above review alone and I consider it money well spent. As implied above, I already use Kindle for iPhone, Stanza, Classics and, now, Eucalyptus.