Reposted from the Stanza is dead thread, with some minor formatting alterations:
I've tried a couple more readers this morning (AU time).
at $1.99. Not bad. Theres also a "free" version
at 0.99c (I'm quoting au prices here... YMMV according to your country) and I dont know what the differences are, I didnt get the other first, but wish I had.
So far here's what I have noticed
1) Very basic adjustment of colour, but has the swipe to dim or brighten a la stanza.
2) Sideloading capable.
3) Links to a number of free sites, some of which don't seem to work.  You can add your own, and delete the ones you don't want but not OPDS catalogs. Just websites.
4) Links to Dropbox for downloading your stored books from there.
5) Stardict dictionaries can be installed. Instructions on the dictionary tab. I havent, because I dont usually use a dictionary.
6) The library does not show a thumbnail of the book cover. It has a generic icon in a large or small version.
7) Margins are minimal, so you get a full page with maybe 5px left and right, and 10 top and 20 bottom. At least thats what it looks like. it might be 10/20/30 for all I know. Text is fully justified with no way to change it.
8) Tap left or right to move forward or back through the book, and centre to access settings etc or close the book.
9) You can also add bookmarks with a text identification instead of just a pretty graphic
10) No annotation.
11) Theres a translate function: If you are from a NESB you can choose to translate from English (or whatever the book comes in) to the language of your choice (not the whole book but if you find a word you don't know, the translation option is there)
12) You can email direct from the book. Can't think why you would but you can. Perhaps in a discussion with someone.
It hasnt had a hiccup in 5.0.1. More advantages. It can read comics and PDF, txt, .doc and more. No DRM reading though.
I kinda like it, and it *seems* to obey formatting instructions (cant find that formatted epub file someone posted, to test it out).
Also tried ebooks reader but it was linked to the ebooks.com site and there was no sideloading capacity. Dropped.
I have also dropped Readme as a possibility. No response from the developers, and constant accessing the internet. Seems dodgy to me, and it was shaping up so well. Its also become unreliable under iOS5.0.1
 Found the fonts file as attached in the readme thread. ebooksmobi obeys formatting and font italic and bold but NOT when span and class are involved. it only knows about the i and b, and i+b tags. Suits me.
[edit#2] Thumbnails of covers show *after* you open the book. It seems the book is stored in a compressed format until you open it, so the cover is not available til then. Its all good.