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The FZ20 sports a Leica-branded DC Vario-Elmarit zoom with a whopping 12x optical range (36-432mm equiv) and a constant F2.8 aperture. It also boasts a newly-improved optical image stabilisation system and the Venus II engine, which, according to Panasonic's documentation, is now equivalent to shooting at 3 or 4 shutter speed steps faster.
The FZ20 - including a higher resolution sensor (5MP as opposed to 4MP), improved hand grip and - thanks to the Venus II image processing engine - it's faster, offers better resolution and lower noise. And that's not all; it is packed with new technologies and upgrades; enhanced metering and focus systems, new shooting modes and a new mode dial, TIFF mode, a better electronic viewfinder, a new menu system and a new two mode image stabiliser.
http://www.dpreview.com/reviews/specs/Panasonic/panasonic_dmcfz20.asp