The Kindle Wi-Fi can also be had for $99 if you sign up for the Amazon.com Chase Rewards card. They offer a $40 credit back to your account after the first month.
I signed up for it to buy my Kindle 3G + Wi-Fi.
edit: I just checked my online statement. My balance is now -$20

. I had purchased a couple of blu-rays with the other $20. It's nice to see companies that actually follow through on their offers in a timely manner.