It's far from being the MS killer, but it's coming along pretty good. KWord can handle any .doc files you throw at it and OpenOffice is pretty damn good at importing as well. KDE 3 is rock stable. Blue Curve has impressed me so far. No hickups as of yet. Pretty damn stable overall.
The apps that I've used so far have proven to be rock stable as well. Importing of MS Office documents other than .doc files, I've yet to try but will soon. I must say, for a .0 release, RedHat 8.0 is actually not to bad. Much better than 6 or 7 ever were.