Hi Millydog, I am also undecided between the iRex iLiad, the iRex DR100S and the Kindle 2. If you want to read PDFs, you should check out
this thread which has a lot of helpful comments and screenshots as well.
FWIW, if the only changes in the 2nd version of Kindle are cosmetic and it does not have native PDF support, I might have to go with the iLiad as I read a lot of journal and conference papers in PDF format and I want my e-reader to support them well.