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The DRM on LRX ebooks has not been circumvented.
Conversion from ePub to other formats generally works well. Note that you have to strip the DRM first.
If you want to be extra safe, you could buy ePubs from Books on Board or several other ebooks stores for your 505. However, Sony seems to be sure they can convert all their LRX ebooks to ePub by the end of the year and you will then be able to redownload your existing ebooks as ePubs.
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