Seem fine for the money; see a lot of them around here
I haven't looked at them closely in a few years, but they seem decent and there are an awful lot of them running around in California and Nevada. REI is good about warranties and returns and stuff like that. I'm not sure how much difference there is among bikes in a given price range anyway--the profit margin is pretty small, and they all use about the same components. Nobody can afford to put Ultegra parts on a bike in the Sora price range or whatever.
Can your buddy buy the bike and pass along his discount? Some retailers won't allow it, but others don't have a problem with it. That could save you a few bucks.