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Its on par with the 350D, it has a few more mega pixels to compete with the Sony alpha and D80, as hey most consumers count mega pixels like they are the be all and end all. The only real improvement is the dust removal, the single lcd screen should drain the battery, it also has less noise low down but more above ISO 400, so it has its pros and cons.
Pretty sure the 350D will cease, lots of prices here http://www.camerapricebuster.co.uk/ oddly the 350D price hasn't crashed yet, give it a month.
thanks peeps, wen't a different root and got a panasonic fz30.
it's 8meg and got 12xzoom but if you drop the pix to 5meg then the zoom goes up to 15.4 and then you can drop it to 3meg and the zoom goes up to 19.2.
Don't know how that works but the bloke in the shop said it's the only camera that does it!?