I've had 4 kindle Paperwhites, all with this defect. It seems they are trying to bring back the old Reading Rainbow with this one.
I'm sorry but I could not settle with this distracting screen. I actually red 67% of Moby Dick on it until I could'nt take any more.
I have had: 1 from Staples, 1 from Best Buy, 2 from Amazon. I give up. I am returning them all today and purchasing a Kobo Glo which has none of this color blotching effect. Good thing i'm not too entrenched in the Amazon ecosystem.
I feel like the more people who settle with an inferior product like this, the worse quality control we will have in the future with these devices. People need to speak out to Amazon so they can fix the problem.