While it hadn't been updated for several years, it did prove itself to be a capable tool that held its own - at least for some users - against Microsoft Word. Pages is Apple's document design and word processing application.
The tradeoff is that Mac users lose some functionality to gain that compatibility, and for Pages '09 users it may not be worth the price. Apple's long awaited updates for its Mac iWork apps are finally out, and one of the big new features they bring to the table are substantially better compatibility with their iOS counterparts.