I have a Lumix TS2 (same as FT2) and it is a bewdy. I did a quick shoot out with Tough and Lumix cameras in a store in average lighting and mving around a fair bit (making tricky for focus/exposure) and the Lumix IMO was streets ahead.
I have also had a bit of purple tinge when the sun is low, but when not copping direct sunlight the vid from the kitecan rig is very good.
Image stabilisation is great.
Underwater shots are superb (even tho reviews i read rated them as so-so). I only snorkel so I'm talking about 3m duck diving here.
The Lumix unit comes with a great silicon cover that helps protect from sand and also accidental door opening (even tho it has 2-stage clips)
Bonus is that the camera is a
very good happy snaps (and more) camera/vid out of the water and really easy to work with.
I was super stoked to pick mine up for under $400 - now I believe you can find them for under $300. Wow! Awesome at that $$.
Only downsides at all are no lens cover (careful with sand at the beach) and no interval shooting (but stills can easily be captured from vid - at good res - internally in the camera)
Here's a few pics from 1st time snorkeling with it using the underwater mode. That green blob is a seaslug sorta thing curled up. Water was pretty cloudy that day and it was about 3m deep.