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Yes, it folds all the way back and can easily be held in one hand. Perfectly comfortably too. If you watch the Kindle demo video you can see him folding it right back too. The spine is a single (thick) layer of leather and is perfectly happy to be bent right back as long as you don't deliberately crease it back.
By the way, folks- Becca at Oberon says that they will be producing a new Bungee Replacement video in the next month or so to reflect the design of all their great new reader covers.
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