I'm thinking about getting a Canon S3 IS to replace my old Canon A85.Amazon has it for $266.50 shipped.Should I?
sure, why not
Good camera. I was going to get one, but eventually decided on the Panasonic FZ8 instead. Might want to check into that, as it sells for about $50 less than the S3 IS, and has, for the most part, been reviewed just as well.
If you liked the a85, go with the a640 or something similar instead. I don't think the IS is worth it, having seen it in action.