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Unless someone has a specific need for the 35mm film format, there is no reason not to go digital. I still believe that 35mm SLR produces marginally better results than digital, but only in the hands of an experienced photographer. For the casual shooter or the inexperienced, the digital format is superior in every way...IMHO.
An speaking of brands...I own Canon and Panasonic and think they both are great. The Panasonic Lumix series are very flexible creativity wise and have a monster 12x zoom and excellent image stabilization.
-Brian
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