Absolutely! But many of the target audience may have very little experience of installing software and may need a screen cam / leaflet along the lines of your instructions. Last time I tried Lubuntu, I had to manually install the appropriate spell checker for my language (en-gb). Many will want ms core fonts as well. I agree the whole thing is one side of A4 with a few scren shots.

PS: Atom based netbooks with 1Gb are much more capable than P3/256Mb, people with such netbooks will have no issues at all with Lubuntu.

I'm running ubuntustudio fine on this Samsung NC10.