Digital Camera Review has a review of the Olympus FE-240 and tells us while it’s not a ground breaking camera, for many it will fit the bill-

"If you have your eye on a new Olympus FE model and have a bit more to spend than you would on the FE-230, I would point you towards the FE-240, with its 5x optical zoom. They’re essentially identical cameras, except for the lens. While camera speed is not amazing and LCD is not always great outdoors, the camera takes solid, pleasing images. If you’re also looking for an affordable, slim camera with a 5x optical zoom, the FE-240 also fits the bill."

Olympus Stylus FE-240 7.1MP Digital Camera with Dual Image Stabilized 5x Optical Zoom (Black)

Featuring

Includes - FE-240 Digital Camera, Wrist Strap, Quick Start Guide, Lithium-Ion Battery (LI-42B) & Charger (LI-40C), USB Cable, Audio/Video Cable, Olympus Master Software CD-ROM, Basic Manual and Advanced Manual CD-ROM
7.1 Megapixel, up to 3072 x 2304 640×480 at 30fps - J&R recommends purchasing an optional 1GB xD Picture card for practical usage
5x Optical, 4x Digital Zoom 6.4 - 32mm Lens, 6 lenses in 8 groups
Aperture Range - f3.3 - f5.0
2.5-inch Color 115K LCD

Olympus LI-40B Li-Ion Rechargeable Battery