The Micro 4/3s format has been a good choice and now that the format is maturing I feel the need to expand my lens collection. Hence the recent purchase of the Zuiko 45mm, 1.8 fixed prime lens. I have not had a chance to use the lens but expect that it will quickly become a favorite.
As for vacation shots the EPL-2 is fine for just about everything. But as I think back my trusty Olympus E-30, though a bit heavy with the 70-300 lens affixed to it, had been my reliable workhorse. Here is a shot taken on a street corner in downtown Ocho Rios, Jamaica taken with my E-30, 70-300mm (f/5, 1/320s, ISO-200, 202mm).