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As far as I'm aware, there's no current device that supports HTML very well. Usually only the most basic HTML.
HanLin V3 (BeBook, Pixelar, EZ Reader, lBook - there's many rebrands) is open and reads a number of different formats. It also supports DRM'd mobi/prc resonably well. Given your needs, I think it's prabably your best bet.
On the other hand, a Sony + Calibre software would also make it easy as you can easily convert variety of file types to something the Sony reads.
The Cybook supports prc/mobi *really* well, but in my experience, other formats not so well (there were supposed to come new firmware by now, don't know if it did - that might change the situation....)
Expandable memory is only an issue with Kindle 2. They all have rechargable batteries, but if you ment *replacable* batteries, I think it's only the HanLin and the Cybook where you can replace them youself. The HanLin even uses a standard phone type battery - but it's an extremely energy efficient device, so you'd hardly ever need it.
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