Thx heaps for all your advice girls! I'll head to a camera store today and check them both out. I think I'm leaning towards the Canon as I've had my Ixus for several years and it's been a little winner. I definitely need something that can capture a great shot in any circumstance though, you know what kids are like - my little Ixus just isn't fast enough!

The site in HK has the canon for $723 and it comes with the following: Canon EOS Kiss (the 'branding' name used in Asia) X4 550D Kit+EFS 18-55mm IS+Battery+UV. Sound OK? My parents bought both their cameras from HK without any issues. The only thing with the warranty is you have to send it back to them in HK.

With regards to the second (bigger?) lens, what would I use it for?