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Ouch!!
Mind you, I'm not too surprised, if only because I understand that the screen is the most expensive single component of any e.reader device.
I'm not dismissing what you're saying, but I think you'd be in a similar position with a Kindle, and at a similar cost - the purchase price of the Kindle is subsidised by Amazon as a loss leader to lock people into buying their books from the Kindle store. I would expect repair components for a Kindle wouldn't get the same kind of subsidy, so you'd be back to full costs for the replacement.
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