[Future Shop] Futureshop.ca: 16GB Sony NWZZ1050R Android-powered Walkman for $129
They usually go for at least twice as much, and recently there have been reported successes with rooting and running ICS (with native FLAC support) on them.
Source: http://www.head-fi.org/t/584479/new-son ... eview/2760
Sound quality has been said to be superior to most devices, and there's always apps to download from Google Play if you aren't satisfied with the stock player app. The earphones that they come with (EX300s) aren't too shabby either.
Edit: Sold out online. YMMV instore. The Sony Store is also doing pricematching with both red and black, though they're also running out of inventory.