Yes, it does have a preamp. I actually think it sounds pretty good, but again that's during practice in a basement. I've just wondering what most people do, direct to board, DI, or acoustic amp.
Actually SBLou, I am looking to buy another acoustic. Mine is a Washburn D10SBKQ (or some such alphabet soup). I really like its tone. I tried some out at GC and wasn't really too impressed in my price range (around $500). I happened to be at a local mall and stopped in at a guitar shop I never go to and tried one of the Seagulls they had and just loved it. But I'm not quick to pull the trigger (ok, I don't actually have the $500 yet) so I'm more or less doing a little research still. Maybe an Ovation would impress me, but right now I'm really gassing for a Seagull.