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Amber's LIT converter will generally do a decent job of producing RTFs, which work very well indeed on the Reader.
The problem with PDF, as you obviously realise, is that it's a "page based" format and it's a self-evident truth that there is no good way that you can view an A4 or US Letter sized page on a 6" screen! This is absolutely not the Reader's fault!
If you look in the group Wiki you'll find some tools for processing PDFs which will improve things somewhat, but the honest answer is that you just ain't gonna see an A4 PDF on a 6" screen very well - no way, no how. Avoid PDFs!
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