Whoa, this editor was quite amazing! If you have two minutes, watch the "Photo Texturing" and "Photo Editing" demonstrations:
It's really impressive! It's based on some kind of subdivision primitive I've never seen used like this before.
The "Image Warping" I'm pretty sure you can do in Photoshop these days tho'.
Yes, you can do exactly that. To me the app looks like a happy medium between 2D and 3D art software.