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Originally Posted by NatCh
You might try the Baen Free Library. They offer their stuff in a "Palm/Mobipocket" format. I haven't used the Mobi, so I cannot comment on how well done the conversions are, but the RTF's I've used have all been of excellent quality. 
The stuff in the Library is, as the name proclaims, free, and if you like what you read, they offer more for sale (sans DRM) at very reasonable prices.  |
Their paid for content is available as .prc files as well. I grabbed a couple off my bookshelf and fed them to the iLiad. They work, same shrunk cover art work, but they work.
One curious thing though. Whilst the .prc files from Mobipocket.com display in the contentList sans .prc, the Baen files show with the .prc in the title.