1) Citing is not an admission of relevance. However, since the duty to disclose only applies to possibly relevant references, citing something that clearly shouldn't be relevant to a meritorious utility application doesn't reflect well on that application.
"Relevant" isn't the right term -- it's "material to patentability". There is case law interpreting what that phrase means.
I'm not sure what you mean by "does not reflect well on the application".
You have a *duty* to disclose information material to patentability. No inference should be drawn that a reference *is* material simply because you choose to submit it, because it's perfectly acceptable to go beyond that duty. In fact, there are many reasons why you might go beyond that duty and submit stuff that isn't clearly material.
3) I think that taking up the position that the press release is not enabling can be advantageous over trying to argue that the application distinguishes.
Depends on whether or not the facts support your position that "the press release is not enabling." The only facts we had to start off with were OP's statement that the press release described something "similar to" OP's invention. That tells me nothing about how enabling the press release is.
Also, generally speaking, saying that the "press release is not enabling" means something along the lines of "my claims include details not found in the press release." Then those details distinguish over the press release.
On the other hand, if the press release contains little detail, but your claims also lack detail, the press release probably is enabling, at least prima facie.