Michael,

it is production ready absolutely and many people are using it in heavy
environments.
Performance in general  is better I have found, but as with any product it
cannot be better at everything.
I have found for example that MangoBlog doesn't run as fast on Railo for
whatever reason and is slowing to start up on application reload.
I have not so far had any major issues with Railo falling over, and it can
be restarted from its own Railo admin which is very handy.
If you run on windows, you can use the Helicon Zoo module to run Railo,
which automatically runs each website in its own java instance, thus you
will have all your sites isolated running their own Railo app.
This is basically like running CF enterprise multi-server.
You can even install it from the Microsoft Web Platform Installer
see this:
http://www.michaels.me.uk/post.cfm/new-railo-and-mura-installer-for-the-microsoft-web-platform

I have converted all my own sites from CF to Railo with very little work
required and they have all been running fine. However just to make it
clear, this wa snot because Is dislike CF, but rather because I was not
using any CF specific features, so there was no reason to waste a license
when all my sites could run happily on Railo.
if your interested here are the sites.
www.cfsearch.com
www.cfmldeveloper.com
www.michaels.me.uk
www.cfmxhosting.co.uk


Security is an improvement over CF is one big way, every site is sandboxed
by default, so can only access its own context root. So you do not have to
manage sandboxes.
The downside is if you want more granular control and disable certain tags.
If you run the Helicon Zoo module then even more so as each site is also
isolated in its JVM instance too, which I believe is bound by the
application pool identity (but I could be wrong).

If your running on Linux, then you could still do all this stuff, you will
just have to do it manually.

The only real downside I have found is the Railo community, but Railo
itself is very solid product.

--

Russ Michaels

www.bluethunderinternet.com  : Business hosting services & solutions
www.cfmldeveloper.com        : ColdFusion developer community
www.michaels.me.uk           : my blog
www.cfsearch.com             : ColdFusion search engine
**
*skype me*                     : russmichaels


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