I think the number one difference which has a practical effect is the presence of two new resampling algorithms (Bicubic Sharper and Bicubic Smoother) used for downsizing and upsizing respectively. These are supposed to be better at preserving detail and color fidelity than the previously-recommended "regular" Bicubic algorithm. This can make a significant difference, especially if you want to make big prints from cropped images.
I think there are some new sharpening algorithms as well, but I have no experience with those.
thanks - I haven't really tried upsizing (obviously I know how to downsize for challenges). Whats the best way to go about upsizing - do you do it gradually or all at once?
and the shadows/highlights tool looks really handy.
I believe the "exposure" adjustment is new (also under Image>Adjustments) or maybe that's CS2. Don't remember. Anyway, I haven't found any good use for it since I shoot RAW but maybe that's good for jpeg shooters?
Another really big deal that is not so readily apparent until you make larger prints is support for 16-bit color for most tools. One of the main reasons for the CS upgrade was to rewrite PS from the ground up for 16-bit color.
I believe the "exposure" adjustment is new (also under Image>Adjustments) or maybe that's CS2. Don't remember. Anyway, I haven't found any good use for it since I shoot RAW but maybe that's good for jpeg shooters?
That must be in CS2 - can't see it as one of my options