I've got a Panasonic DMC LC20. Only 2 megapix, but the Leica lense more than makes up for that. Does macro from about 10cm and I'm pretty happy with it, apart from the weak flash but I think this goes for all these small pocket cameras. Cost just 220 Euros, batteries last ages and a 64MB card holds about 100 pictures.
dpreview is worth looking at, you get real people's views not just 'experts'
Sean