Jeff,
The link between alcohol and cancer has been known for quite a while, so as usual there is more smoke than fire in this "new" study. Within that constraint, however, red wine is clearly not as bad for you as other forms of alcohol because of resveratrol and other polyphenolics that have demonstrated anti-cancer activities. Whether they balance out, or where that balance may lie, is unknown and probably varies from individual to individual.
On another note, I've been doing some reading on dietary changes that lower LDL levels and red wine also shows definite benefits (about 8% reduction in LDL levels). Curiously, dealcoholized red wine shows no such benefits, so go figger.
As Mark says, I'm a firm believer in the benefits of moderation.
Mark "Resveratrol Boi" Lipton