I just got some interesting feedback from the field in Iraq. Apparently the KA-BAR Desert Mule is winning over hearts and minds as a good utility/combat folder. It is a bit larger than your spec, but sounds like it is good and reliable. Not a bad set up for a $40 knife.

If the boys in the field are raving it, then it is worth further investigation I reckon. I do plan on getting one now. I am going to post this info in a new thread as well.

I am also going to check with the professional critics on Bladeforums and see what they say.
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The ultimate result of shielding men from the effects of folly is to fill the world with fools.
-- Herbert Spencer, English Philosopher (1820-1903)