Hi, I'm a long time listener, first time caller ^^
http://www.photozone.de/8Reviews/lenses ... /index.htm
Interestingly, from this (rather elaborate, technical) test, the new 18-55 IS seems to be hugely impressive. Although it retains the cheap build and construction, and also the slow aperture range, it does add an effective 3 stop IS, and image quality (corner sharpness, vignetting, chromatic aberrations, fringing) surpassing the 17-85 and even coming close to the (hugely expensive) 17-55!
Even considering the possibility of this being an exceptional sample of the lens, the new kit lens seems to be the ultimate budget king for the 400D/40D crowd.