I still have my first camera and every lens I've ever owned for it. It's a 20 year old Pentax ME Super and it's bulletproof. I still use it for some of the documentary and fine art stuff I shoot. There's some things/some markets that film is better for. That and aside from the sentimental value, I'd rather bring a camera that can be replaced for about $200 into some dive blues shack in 20 minutes outside Memphis than my newer equipment.
At the other end, I have a Canon EOS 10D. The big brother to Kevin's DigiRebel. It's been great. It's the Digi SLR Canon sells before you get into serious bank. I made the leap to Canon for autofocus about 3 years ago so I had an A2 and pretty healthly complement of lenses for EOS bodies already.
If you want to hear it, I'll run through my gear send me a note, but to be honest I'm guessing that a digi SLR might be over kill off the bat. Not diluting what you'll be doing with the camera, but I've talked to pro photographers who have shot assignments with P&S Olympus gear. P&S have come a long, long way.
Personally, I wouldn't recommend Olympus. The camera interface and the software leaves much to be desired. Like a Canon or Nikon camera.
I'd go to Southeaastern Camera on Peace Street in Raleigh. Support the local shops. Go check out any of the Nikon Coolpixs or whatever Canon is calling their current line up. I've heard good things about the Fuji's as well. Look at all the camera's that fit the bill. Take some test shots and see how the shutter response is. Fast enough for you? If not move along. How does the camera fit your hand? Is it comfortable? Can you see holding this thing for 2 hours straight?
Make a note on the optics. Digital or film the lens is the most important part of the process. Can't really go wrong with Canon or Nikon (even consumer grade is pretty solid) I think the Fuji's are getting Carl Zeis optics on the nice stuff. That's more than good enough.
If Southeastern isn't convenient. (Where do you live? I need to rummage through that pile of harnesses.) Go tie up the counter at Best Circuit Buy City and do the same thing. Find the camera you like and then check the prices here.
http://www.bhphotovideo.com/ I've ordered more camera equipment from them than I should tell my wife about and have always gotten top service and very competitive pricing.
Feel free to email me if you have more questions.
EDIT=
Prints. Not an issue. Most labs can print genuine silver based prints from a variety of media: CompactFlash, CD, USB flash, SD/MMC, whatever. if you really want to get into it, you can get a printer and do your own work.
Speaking of media, on principal I can't recommend a Sony product since they force you into the MemoryStick⢠option. That's fine I guess if you've already got a slew of MemoryStick⢠devices. But the CF equivalents are almost always available for less money.