1. The NY Times' Paper Cuts is essential reading for book lovers. Run by the editors of Book Review, the blog covers topics as casual as book fairs, and as heavy as recent deaths. It's updated routinely and a few fun features appear every week. In Stray Questions, a writer answer a series of pithy questions about his or her process and current project. In Living with Music, writers compile playlists and explain the impact of music on their work. And then there's the weekly podcast that highlights some of the Book Review's newest literary discoveries.
2. Blog of a Bookslut is a witty and opinionated foray into everything literary. It's perfect for smart people who know literature inside out (or want to) but don't care about sounding erudite. Sometimes, Bookslut's blog reads like a tabloid (it's certainly given enough time to the recent Oxford poetry chair scandal) and sometimes it reads like a pithy book review. Either way, it's an entertaining resource.
3. While the above two blogs are truly informative and professional, Spike Magazine's Splinters blog is everything a blog should. Fast-paced, energetic, media-packed, and the posts are short, short, short. You won't get much meat, but you'll get fun videos and plenty of informative links.
5. Los Angeles writer Mark Sarvas runs the blog The Elegant Variation. It's news driven (in that Sarvas' posts almost always respond to something that just happened or is happening), but it's not newsy in the least. Sarvas often indulges in the literature he appreciates, quoting swaths from novels, essays, or the like. It's nice to read a dependable blog that really is the work of one devoted blogger.
Honorable Mention: Any one who devotes this much time to W.G. Sebald's work deserves an honorary place on this list.