Hi, I have been using the new Kindle (dimensions: 166 mm x 114 mm x 8.7 mm) for a week; here are my observations. It does read mathematics texts written in pdf, hence arXiv papers. I noticed only one issue which concerns margins and the font size. Indeed, most mathematics textbooks and papers have big margins, and then not look good on the Kindle. There is however the possibility of zooming, but as mentioned above, this is very disturbing since then one can no longer see the entire page one is reading. Another alternative is to convert pdf or djvu to e-reader formats such as mobi, rtf, etc. by using a program such as Calibre (for Linux distribution); but then one gets some ugly extraterrestrial maths formulas.

Here is the solution I have been adopting so far to read arXiv papers: I download the .tex files, and fiddle about with the margins and font size; more precisely, the reasonable font size is 12pt, I cut almost all the margins and enlarge the lines (this is useful especially when one deals with big formulas or diagrams) by adding "\usepackage[paperwidth=16cm, paperheight=20cm,top=0.5cm, bottom=0.5cm, left=0.5cm, right=0.5cm]{geometry}". The result I get is much better, and I can read without trouble ... just imagine one of the printed two pages on an A4 sheet.