XZ-1 Raw Quality
As long as you expose to the right or at least properly, noise levels are quite good for such a small sensor. Now, if you really start to massage the data and especially if you need to brighten parts of the image, noise will build up pretty fast, so you need to keep that in mind when you shoot.
And of course, in the end it all depends on what you compare it too. If I compare it to my Nikons it really is a bit of noise in the files, but than again, so is the case with all things Olympus
'It is nice to be important but it is more important to be nice'