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I only use jpg, even with my C-8080. I sent my C-740 Olympus 3 MP 10X zoom to my daughter. That is a very nice camera and I regretted parting with it. The C-8080 is heavy and much bulkier. But, I do love handling it. I would say that in the general scheme of things the C-740 produced pictures with as good quality as the C-8080. A bit less versatility.
My back up camera is a Pentax 4 MP Optio S4, very small 3X zoom. No bigger than a pack of cigarettes. I used it for a trip and it is OK, tho the lens is no where near the bigger cameras in terms if resolution, finess, or whatever the optical term is. Good for 4X6 prints but you wouldn't want to do much cropping.
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