Had high hopes for Nikon

My wife and I wanted a nice portable camera to take out with us, one that would easily fit in her purse or my pocket if needed. I have a nice Canon SLR and really wasn't expecting incredible features just a nice camera from a very reputable camera maker (not a reputable watch maker). The camera was to replace my wife's Sony cyber shot which she told me was just a little too big to fit in her purse and it was certainly too big to fit in my jeans pocket.
The camera takes very nice pictures most of the time. In my experience, it takes lousy pictures if its an action shot ... I think it is the slowest camera I have ever used -no, really! We missed our baby doing some of the cutest things. It took terrible pictures inside a basketball arena where the bright floor bleached the lens and the crowd, bench and players were super dark. If we're out at a bar or restaurant and its relatively dark, plan on taking several pics since most will be dark even with the flash.
I really wanted to like the Nikon and I would like to think that the money wasn't a complete waste but its been 4 months and its going on ebay when I have the time.