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I have purchased audible books in the past, but not yet for the Kindle. What I do is get audible books from the library, rip them to MP3s and then play them through TotalRecorder and have it split the book into 30-minute sections. Since you see every mp3 file as a separate book on the kindle, you can't put and play audiobooks directly as mp3s. Instead, I put 30-minute chunks there and delete them as I finish them.
Not as flashy as an iPod, but it works. And yes, it does eat up battery life compared to just reading.
I'm hoping a future software update will improve the mp3 experience, or at least let me have folders so I can play audiobooks more easily.
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