MobileRSS is an iPad app that draws down the feeds from your Google Reader account and makes the snippets available to read in paragraph-long pages that can be swiped through. It is a very stable RSS feed reader. Not as fancy as Flipboard or Zite (both of which arrange content in a magazine format), Mobile RSS is a straightforward reader. It nicely tracks what you have read and what you have not, and there is a switch for displaying only those you have not read (or all).
You can add new feeds to the list and then move them into folders. There is an option to download entire articles. It is not entirely an offline reader because it seems to want to only go and get more content if you are about to read it (it seems to get about 5 to 10 article summaries at a time).