It absolutely handles iPhoto 08
The iPhoto Library 08 and Aperture Library are Package files instead of a folder. If synchronizing bi-directionally you need to have the new version of iPhoto on both Macs.
To handle this you need to make some changes in your ChronoSync document. In the Options Panel check Dissect Packages and make sure Ignore invisibles and Preserve comments are both unchecked. In the Analyze Panel check Display All and Pkgs so you can tunnel down and see inside the packages. Now ChronoSync will handle the package file like a standard folder.

If you have any troubles then contact me personally.
joe@econtechnologies.com

In regards to speed please remember that connection speed to the destination is the biggest factor.