Cheap Digital Camera recommendations for use by a 3 year-old

This may sound a little strange, but I've gotten great advice from all of you folks out there on the web before, so here goes:

mel-thumbnail.jpgI've been thinking about getting a present for my daughter's 3rd birthday.  This morning I was struck with an idea - she already loves taking pictures with me, both as a model and as the photographer - she loves my Nikon 990 because it gives instant gratification when you share the photo thumbnail with each other right after the picture is taken.

Of course, the Nikon 990 is (a) too heavy, and (b) too expensive to let her use regularly, and besides, it's my camera.

But as an experiment, I would love to get her a cheap, kid-friendly digital camera that she can use and have as her own.  I think it would be incredible or her to go back to these photos later in life, and relive the perspective that she has now.  I'm sure that most of the shots will be total crap, but then again, so what?  Storage is cheap, and it is not like we're wasting film and burning cash.

Here's my requirements in a camera:

  1. Small enough to grip with kid's hands
  2. Lightweight
  3. Rugged enough to handle short drops, minor spills, etc.
  4. LCD screen on the back (this one is important, it gives instant feedback)
  5. Auto-exposure mode
  6. At least 640x480 resolution
  7. Approx. $100 or less
I don't really care if it is new or used (used is perfectly fine), or the number of megapixels as long as it can create web-ready pictures.  An auto-flash would be nice, but it isn't necessary. 

I went looking on e-bay tonight, but unless you know exactly what you want, it's really hard to wade through all the chaff.  I just don't want to be made into a sucker by buying a chintzy piece of crap.  Perhaps an older generation camera that has seen some wear-and tear and seen some love by someone who has now moved onto a next-gen camera would be perfect for my project. 

Any ideas?  Leave a comment below.