[fjtorres]

In general, yes, I care about formatting.
It's a matter off how much it disrupts immersion.
Hard-coded txt I find unreadable.
Bad hyphenation, white-space rivers, extra lines between paragraphs, no paragraph indent... anything that draws me out of the narrative flow I find annoying.
Non-disruptive but still annoying is the persistent use of straight quotes in commercial ebooks.

Basically, I want decent basic typography; never mind fancy stuff like drop-caps, artistic chapter headings and what-not.

Just the basics but done right; it doesn't take much effort--a couple minutes in MS Word--to cook up a macro to fix most of the stuff and output a clean rtf/html. Even the antique gutenberg txt files can be made readable with a simple run through the Gutenberg prettifier so there is no excuse for bad formatting in the file itself.