A few days back DNAML, an Australian tech company, announced a new Epub conversion tool.
Teleread announce it; I held off becuase I wanted to test it first.
Well, someone beat me to it. One MR member has already spent the $99 license fee. He's commented on the quality of the conversion
here and
here. You can follow the ongoing discussion
here.
On a related note, I've been told by DNAML that they are working on providing a trial version. When it's ready, I'll try this converter and give you my opinion.