@6charlong: the design is almost identical as the Touch cover (minus the mag clip), so most of us can already answer you:
* Nope, not touching the screen. It didn't do a thing with an IR grid, so it's even less likely to cause issues with a capacitive touch layer
* Some people do find it easier to hold with the cover, yes. On the other hand, it does add some weight to the whole thing, that might be worse than the possibly better grip for some. The flap does fold back & stay there, and I personally use it like that, and really, really like it. No issues one handed, although that's not my style.
* It fits completely. It's actually probably harder to take it out of the cover than put it in
. Don't think it helps much with drops, though, but then not much does. It has the slight bonus of adding some padding to the sides and protect the screen, but that's it.
* Can't speak about the only thing new in the PW cover
* Not at all.
* Yep, there's a cutout. No physical volume controls, but the jack/usb port/power led/power button are obviously part of that cutout