Sony Reader PRS-T2WC White $118 at JB Hifi, delivered for $0 or free pickup. Normally $178, JB currently have a sale putting them at $168. This is the latest model. I haven't looked instore so I don't know if they advertise this price in store. This may be a misprice, or a genuine sale. The equivalent black model is still at $168. There is another model PRST2HWC but at $168. As far as I can work out, the only difference is the inclusion of a Harry Potter book in the HWC model.
If you look around in JB stores, you might still be able to find a case for the PRS-T1 for $9 (no light) or $15 (with light). The case apparently fits both PRS-T1 and the T2 but is on clearance because the new one has the "compatible with PRST1 and PRST2" printed on it and the clearance model only has the PRST1 printed on. There may also be new indentations on the case where the new button row sits.
Potential for more savings with an Entertainment Book JB HiFi Gift Card with 5% off. $118 - $5.90 = $112.10. But does take a few days to arrive, by which time, the reduced price may be gone. Officeworks do not stock the Sony.
I won't go into the pros and cons between this and Kindle/Kobo. But I personally do prefer the Sony over the other models.
Description on Sony's website
http://www.sony.com.au/product/prs-t2/sku/prs-t2_wc+++ce7
While not a fan of the white it is a good price for the reader, good find OP :)