Some of the comments here are pretty silly.
I bought my GF the elph 2 and it is an excellent camera. While I personally find the zoom a bit lacking, it is a very nice, durable, small and quality camera with a good glass lens.
As for APS vs. 35mm, its personal preference. Yes, because APS film is smaller in size quality will suffer when enlarging. However, as a photographer who used to work in a retail camera store for many years, I can say without a doubt most consumers do not enlarge past 4x6. At 4x6 you will not notice a difference in quality. 5x7 is even arguable. Beyond that, you will probably encounter more grain if you use APS film for enlargements.
-APS cameras are extremely easy to load, and the indicator on the roll of film that tells you whether it has been used/exposed/developed is pretty handy.
-The contact print that comes standard with every roll developed is handy when ordering reprints-you dont have to hold your negatives up to the light and squint to see which picture you want reprinted.
-While not all places can process APS in one-hour, every single camera store has the capability of sending it out to kodak (or whoever) with a turnaround of 2-5 days.
-Cost of film is dropping, and what you pay is more dependent on where you buy it then what format the film is. Cost of processing depends on what format you selected when shooting. If you shoot all panoramics then the cost will obviously be higher due to the neccesity of more paper, etc being needed. Shoot 4x6 or 4x7 and the cost at most places is the same or just a little higher.
Take a few rolls with your new camera and decide if the quality is high enough for you. Im sure it will be. Its a fine little camera.