I believe press releases can be very effective, if written the right way. If you send a press release that is strictly just a commercial for your business, you probably have very little chance of it getting picked up. In order for it to grab the attention of the reporter or editor, it has to be newsworthy, and more importantly, it has to be a good story. If it's a good story, it makes the work of the reporter that much easier. If it's well written, timely, interesting and in the right format, they will use it. There are some other threads in this topic discussing press releases, including a press release tool that will help you to write your release.
As for the distribution list, it depends on what you're writing about and how big the area is where you live. If you're writing something that would be suited to your local audience, make sure to send it to all the major newspapers and media outlets. If it's something for a national audience, there are a number of services (again, see the other threads) that will distribute your release for you.
It sounds like you have alot of experience writing press releases already, but if you ever want some other eyes to take a look, feel free to post it here and we'll give you our humble and honest opinions!
Hope this helps!
Yvone