Graham King:
Waterproof. That's the main plus. Takes good videos, light, compact and easy to use. My 2 year old can use it.
On the negative side it is _terrible_ for static pictures, because very hard to hold steady, and the shutter response take 2-3 seconds.
If you need an affordable compact waterproof (and snow-proof) video camera this is a decent choice. But get a separate static camera.