J.R.
Hi JB, another mom posted something similar yesterday. This was my response to her - i LOVE LOVE LOVE my camera.
I absolutely LOVE my camera. it's a Panasonic Lumix (DMC-TZ1)
i did a lot of research before buying my camera - i was really sick and tired of the batteries (this has a rechargable battery and it lasts a long time). you can take very high quality pictures - they are crisp and clear, and not pixelated. i found the factory settings are the best, though there are lots of ways to fudge around with it. it takes black and white, sepia and color photos and video with sound (though, the files are very large)! the pictures i take are easily 11 x 14 quality (some digital cameras take pictures that don't blow up well...).
if i may suggest - stay away from the cameras with a high digital zoom - you want optical zoom, and even then, to get really good pictures, don't use the zoom... get closer to the subject.
anyway, hope that helped :)