So far I've found this jacket to be nearly perfect for my needs.
I've worn it on several day hikes in wet weather as well as around town and it's great. It's definitely waterproof and the water beads off of the fabric.
The fabric is also breathable and light so I never felt hot and clammy underneath.
Around the city, when you don't need it, it folds away into an internal pocket and my girlfriend found that it was small and light enough to stash it away in her handbag.
My only minor complaint was that in the beginning I found it difficult to adjust the hood, it takes a bit of practice but once you know how its not too bad. Basically, when you're wearing the jacket and flip the hood on, it invariably is too big. There is a small zip-pull to tighten the cord at the back of the hood, and I found myself fumbling around back there for ages.
Eventually I had to take the jacket off and see what I was doing wrong. But once I figured it out it wasn't too bad. And once it's adjusted the way you like it doesn't really matter anyway.