What about redundancy if distributor goes down?
There is no support for Distribution failover in MSSQL replication. 

One solution to this limitation is to use Windows clustering on the Distribution database. See more about clustering here: http://sqlmag.com/sql-server-2008/planning-and-implementing-sql-server-cluster http://sqlmag.com/sql-server-2008/set-sql-server-2008-cluster http://sqlmag.com/sql-server-2008/upgrading-sql-server-2005-cluster-sql-server-2008