Lycoris is what was once known as Corel Linux. It's based on Debian, has an exceedingly nice-looking desktop (including all the standard Windows-ish icons), and has a decent buzz from the Linux community.
I expect it'll be a niche player for at least a while as a good choice for resellers looking for a preloadable Linux, and for semitechnical noobs.
I hadn't looked at the desktop before. It looks a little too XP-ish to me, but I imagine people will love it. My main concern with something like that is that, for the basically clueless, it looks too much like Windows and might possibly be confusing.
Of course, none of the small number of Linux systems I've sold have had that problem. Most people willing to accept Linux on a PC are either very technical or so clueless that they wouldn't even try to install software.