After reading a book or two in txt format using the middle size and whatever font it puts things in (courier new?) I decided to play with moving a txt file into rtf. I settled on Arial, 18point, and justified text. The only problem I'm seeing is that there seems to be blank space at the bottom where there is room for another line (see attached picutre - and please excuse the fuzzines of the picture - the reader text looks great I swear :)). Has anyone else noticed this? I tried playing with the margins but the readers seems to ignore this setting. Any thoughts?

Hmm, I hadn't noticed it before you pointed it out, but mine seems to do the same thing. It seems less pronounced in the S size, but that's probably an artifact of the font size.

Perhaps there is a built-in feature to make sure that the line at the bottom is not broken or "in half". And it could be a rounding error that wrongly assumes that there is not enough space for one more full line in the bottom.