Sorry about your reader
I don't think you are being unreasonable at all. I personally would expect any gadget to last for several years. I was very disappointed when my MacBook died after 2 years - that is pretty poor for a laptop. But yours should be covered for the first 12 months, right? So I would expect a refund or immediate replacement from waterstones. I doubt if they'll have the 505 still but if you get a refund, you can choose something else or go elsewhere to shop. Don't be fobbed off - you have rights!