My favorite point and shoot was a 3.2 MP Olympus. I would never go with another company for a point and shoot! I wore ours out over 3 years (the shutter button stopped working right).
Do you have xD cards? You can still buy those online, or at Office Depot (I saw them there 2 months ago). I don't know how big they are, but that's no reason to up and buy a whole new camera that takes good pictures. I had about 4 cards for mine, and a little card carrier that I slipped into my camera bag with extra batteries. With a 4 MP camera, you shouldn't fill up your cards too fast. I have a Nikon D60 SLR that takes huge pictures, so I have actually filled up a 2 GB card, but I hardly ever filled up my cards with my Olympus.