http://emperor.tidbits.com/webx/tidbits-talk along with CDs, lists for $100, and is currently selling for $30 from
Epson online (OK, it's out of stock; so sue me). Their Stylus Photo
1400 (my printer) prints up to 11" wide, does a more-than-decent job
with photos, and prints CDs directly. Amazon has it for $270.

Epson includes a so-so label composer for OS X. I've downloaded a copy
of DiskLabel to evaluate, but I haven't tried it yet.
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