I liked the Nikon D40 that I had bought in Turkey (as an emergency replacement for my waterlogged Panasonic LX5), but I never really considered it a “permanent” camera. Seeing how I was at home, I took the opportunity to resolve my camera situation. We may not get all the newfangled gadgets from Japan, but the USA really has some of the best prices and selection for electronics, due to all the competition in the market.
I spent a considerable while researching cameras. Upgrade to a newer DSLR? Perhaps a Micro Four-Thirds (MFT) model like the Panasonic G3 or Olympus E-PL1? Maybe a more compact (yet fully functional) Canon Powershot S95?
Ultimately, I went back to the Panasonic LX5. I think it’s a good choice for me at this point of my travels. I’d been satisfied with what I’d gotten out of my previous use of that model (from Japan to Turkey).
Somewhat magically, my “replacement” LX5 arrived the morning after I placed the order on Amazon.com. Compared to my used LX5, the new one feels shiny, crisp, and smooth.
In addition to all the cosmetic nicks, scratches, and general wear on the body of the old LX5, the rear LCD shows signs of corrosion from the seawater that had seeped in when it plonked into the water in Turkey.
The metal body has a lot of abrasions, from grinding against stone, concrete, and other rough surfaces. I’d have to buy a protective cover to avoid these, and I’m not going to bother getting one for the new LX5, either.
The old unit is a Japanese domestic model, so all the labels and digital menus are in Japanese. The bottom of the camera saw so much wear that the serial number has worn away. My new unit is localized to USA/Mexico (English/Spanish).
When it comes to bulk and weight, there’s no question which style of camera is better suited to light-weight travel.
Although I was able to manage toting the Nikon D40 around for several months, locking it in my backpack (with at least the toiletry kit removed) when needed, it really was cumbersome in many situations, drew a lot of attention to me in others, distracted me with worry in some, and made me fatigued more than the compact LX5.
It took me time to get re-acquainted with the LX5′s settings and controls, but after some fumbling, my reflexes returned. At first, it was very weird not using an optical viewfinder, and I really missed the quick response of manually operating the zoom. The LX5 feels a little slower than I remembered, and low-light results are a little disappointing after using the DSLR (with its larger lens and sensor). I’m now also noticing noise/dithering in even bright scenes like clear blue sky at ISO80, but prolonged use of the Nikon D40 made me comfortable with the noise at higher ISO settings, so that’s okay.
I’m still happy with the LX5. It’s very inexpensive compared to a DSLR and MFT (which I’d probably have upgraded to a couple of nice lenses), and it does mostly what I want. I also get to continue to make use of all those extra LX5 batteries, which is a plus. We’ll see how long this one lasts… 
