Thanks to everyone for the responses.
I have a couple of questions/comments:
In reference to reading PDFs I mean that these are actually "books" with text only. (not graphs, charts etc) Essentially real books, just in pdf format. Would that still be an issue with either the Nook or the Sony reader? Will they not be able to handle these? Or would these handle pdf books just fine? If not, I may end up holding off for a while longer because I'm not sure what the point would be (for me) without pdf capability. (just reading, I mean it's an e reader if I can't read then there isn't much point for me to jump into the ereader market yet)
I really like the Kindle but it doesn't do library books so the Kindle is just not an option for me.
I really want an mp3 option for audio books, and so after doing some research it looks like the sony pocket reader is not an option either.
As far as other options, well I just want to read.

I mean I can't see myself taking notes that much on an e reader...I suppose I might in some circumstances, so that might be of interest but I don't know. When I take notes as I read now, I do it in a notebook, I can't imagine I'd ever use that option too often. But who knows? I might get to like it. I don't really care about WIFI and wireless either. It's nice to have, but I'd actually rather shop on my computer anyways. Though it might be useful to be able to access stuff right at B&N. I looked at a Nook at B&N in store a few weeks ago and found the whole touch screen thing a big hassle. It seems like it was all flash and no substance to me. That tiny little touch screen just didn't work well. maybe it was because this was a well used display model, I don't know. It felt very counter intuitive to me.
I actually really like the looks of the Sony reader and Sony's touch screen really looks intuitive from the youtube videos. I don't know if I want to go that high in price though, (above the pocket version since the pocket doesn't do mp3)
if only Kindle did library books I jump on the kindle TODAY, but it does't and don't want the hassle of all the conversion stuff...I mean it just seems ridiculous to me.
Not sure what else I can give info wise other than E-Ink screens. I just want to read on the thing, use library books and do audio books ocassionally. I don't need all the flash and gadgets, and probably don't care about wireless. If I buy a book I'm gonna do it from home probably anyways, not at the local coffee house or something. (I'm not an impulse buyer when it comes to books) So I dunno if that clears things up or not. Probably not.