If you don't mind a used one, my suggestion is to read up on some really nice cameras that came out 2-3 years ago and then search eBAY. Those cameras are coming onto eBAY in droves right now because folks are upgrading to digital SLR cameras and selling some great cameras in excellent condition.
This is out of your range, but as an example, I just got a Nikon Coolpix 8800 w/ lots of accessories, for about half what everything went for new. It is 8 megapixel, with excellent reviews. If you look for a camera w/ great reviews that came out two years ago in the $600-700 price range, you can probably find it now (if you are patient) in your desired price range.
What I did was save a search for the camera I wanted. eBAY then sent me an eMAIL once a day if there was new Seach results. I then added those to my Watch List and followed the auctions that looked promising until I found the one I wanted to bid on.