The Panasoic Lumix mentioned above is really an awesome point and shoot camera. I am really impressed with the features and quality of images it takes (friend just bought one)
I own a lower end Nikon DSLR, if you are looking for a digital SLR I would go with Nikon or Cannon. I love the Nikon but all of my other cameras are Cannon and if I had purchased Cannon, I could have used the lenses from those cameras on the new DLSR, but since I went with Nikon and it is a different mount I have to buy new lenses. Nikon and Canon are both pro grade cameras. The one I own is the D80 and it is a really nice camera (about $1600 US for the kit with a zoom lens)
If you want it to shoot video as well as stills though you might want to keep looking...