The TZ10's autofocus and image stabilisation system work very well indeed, providing constantly sharp, accurately focused pictures.
Colours are vivid, in a natural looking way, skin tones are flattering and contrast is handled well too. Noise is almost invisible at ISO 80 and 100.
It's only slightly visible at ISO 200 and becomes more prominent gradually after that as you'd expect. Extremely pleasing results.
HD video is recorded in AVCHD Lite on the TZ10 and quality doesn't disappoint, the stereo sound quality is good too (complete with wind cut function).
There's even a dedicated movie button on the camera's back. Impressively, all of the camera's functions, like 12x zoom, image stabilisation, face recognition and GPS are applied to the movie mode too.