Do you e-read?

I’m thinking of taking advantage of the big e-reader war between Amazon and Barnes and Noble and getting one and I’m wondering if anyone out here uses one and what everyone thinks about them.

Personally, I have mixed emotions. I like the idea of portability and the ease of use the e-readers provide, but I don’t like the idea of not holding a traditional book in my hands. I don’t like not being able to smell a book, or look at cover art, or carry the book, or see what other people are reading. I don’t like the idea of not using bookmarks. I also don’t like the idea of e-readers doing to books what the internet has done to newspapers and music because one day I’d like to see my name under a short story title in one of those real books.

So what do you think? Do you like e-readers, or do you hate them? Do you recommened the Nook over the Kindle or vice versa?