We've got an R300 that was bought pretty much when they first came out. It's more or less the same printer as the R200, but it includes standalone printing capability. Really the R200 would've been just as suitable for us, but it wasn't available at the time.
Anyway, we use it to run off OpenOffice discs, copies of drivers, etc. The original ink carts lasted something like 200-250 discs + some misc photo printing for us - something in the range of 6 months of near daily use. I was impressed with that anyway. The CD/DVDs come out slightly lighter in color than your source image, but look fine. Printing them is relatively easy, you just pop a printable CD-R in the included tray, and the printer automatically aligns itself and goes.
As far as photo print quality goes, it's typical Epson -- IE: Excellent. It's on par with the Stylus Photo 850, 950, and 1280s we have. The fact that it uses relatively inexpensive individual CMYK carts is a nice bonus in addition.
As with most Epsons, you'll want to run off something every week or two to keep the heads from getting clogged. Epson printheads are built into the printer rather than the cartridge like HP, which makes for cheaper cartridges and higher print quality, but the downside is if the printer just sits, the heads will clog and you'll end up wasting a lot of ink on cleaning cycles.
Anyway, great printer, especially for the money. Ours has certainly been a workhouse in the 8 or 9 months we've had it. I'd definitely recommend it. Hope that helps anyone that wanted more info.