What is a reader's report?

It's when they contract with someone on the outside to read- smaller agencies or less experienced agents sometimes do this. William Morris has literary agent trainees and assistants do this. They take a look first and then pass it on to the agent if they feel it will interest them. (kind of the first line of defense) Many times a manuscript will be passed around an agency-
When your agent submits to publishers more than just the acquisition editor has to read for them to be able to buy it - they want to make sure it has a wider appeal.
Did you have to pay for it?
If you did it's a red flag for a scammer although there is one agent in Oregon who offers a manuscript reading service for a fee- I think it's right on the line of being a bit unethical - but yanno it's just IMHO