I'm in the same boat as you. I settled on Newrob after trying out Greed, gReader, BlueRSS, and FeedR. Also paid for Newsrob Pro, but ended up refunding because the differences between the ad-supported and paid weren't that worthwhile, and the cost (€4.99). Would love it if Google would come up with a first party Google Reader app with some great widgets...
Motorola Droid 1
Sapphire 1.1.1 w/ black notification bar
800 MHZ CPU