Well, after thinking for a while about this, I've decided to go ahead and repost something I was told in an e-mail exchange with R&R. I don't think they'd mind, under the circumstances.
Concerning distribution, all R&R authors/publications enjoy international distribution via online (Amazon) and traditional brick-and-mortar bookstores. Approximately 10-12,000 stores. We enjoy full marketing capabilities through a retained and reputable New York advertising agency. Our distributors employ a full sales representative staff to get your books further into the stores.
That sounds to me like a real (albeit not huge) publisher. No, it's not as wide a distribution as, say, Tor or Del Rey, but since it's pretty much impossible for a brand new author to be published through Tor or Del Rey, I'd say it's still a good bet.
I don't want people to get the wrong impression. I don't mean to sound like I'm shilling for R&R.

I just know that I've been through this process before, and this looks, at least so far, like the real thing. I'm not signed with them or anything, and it's possible they may not even like the manuscripts I've submitted. But it doesn't sound like a scam to me.
So far as 25% on net, that doesn't sound any different than most book publishers. Almost all of them pay royalties/a percentage of profits (though I don't know if the 25% figure is standard or not). The only difference is whether or not there's an advance offered.
Also remember that most publishing contracts have a limited lifespan. If a company like R&R
does publish a book, you always have the right to try to sell it to a larger publisher later on.