The torch has three LED's and the option to turn on one or three LED's and for all three to flash. I have not used the torch at night yet but it appears in three LED mode it is bright enough to comfortably walk by. The instructions do not say if it is water proof but it looks like it could be splash proof.
The instructions claim 30 minutes illumination after one minutes of cranking, I left the torch on and the LED's where still illuminated ofter 3 hours though nowhere near as bright as the first 30 minutes. One possible frustration is that the torch has to be pulled off the head straps to be cranked but I feel this is a small price to pay for never again needing batteries.
Edit: I just pulled the torch apart and it is definitely not water proof, it has two small 3.6v Ni-MH batteries giving 80 mAh (pic below) the green bits are the batteries and the metallic cylinder is the dynamo. which is sped up by some nylon gears.
Tony

Dynamo Torch and head straps

Torch head and winding handle

Three LED on

Bike attachment

Inside