I'm not sure if Target still carries these Rock River lanterns, but check out my comments from this old post. There's a link to a favorable FlashlightReviews.com review in that post, too.

I still have my Rock River and although I haven't taken it camping, I haven't had any problems with it with occasional use over the past year. I've knocked it off my nightstand many times with no problems.

I don't think I've seen a good LED flashlight/lantern combo yet due to the directional nature of most LED's. You can make a light that throws light out or straight ahead, but tough to do both well.

That said, I do carry a little Brunton Lamplight flashlight/lantern combo in my gym bag everyday. It runs off 3AAA that powers a single 5mm LED. A lens concentrates the light quite well, but it's a small spot. Pull the head portion away from the body to separate the two and the thing becomes a lantern. Not terribly bright, but if you're in the pitch dark camping (or stuck in an elevator in a blackout), it should make a decent tent light that will last a good long time.

I also just ran across the Highgear Trailtorch Lantern. Basically the same idea as the Brunton, it seems. My Brunton is not waterproof. I doubt that this Highgear is either. I don't think any LED lanterns are truly waterproof. If your parents really want a truly waterproof light to depend on, it might be better to spring for a separate waterproof LED flashlight, in addition to an LED lantern, if they want to go with LED's.