I have mixed feelings about KT's nowdays; but I believe in general they are fine weapons. As has already been said, there are lots more that work than don't... and the people who call them junk probably never owned one. They are one of the best values on the market.
I own a P40. Don't bother searching the KT website for it, it isn't made anymore (nor the even rarer P357). It's a .40S&W version of the P11. Back when it was listed on the website, the description said that it was at the upper-most threshold of what a human could endure (pain). It's quite the little firecracker, and not for inexperienced shooters! So the pistol takes a pounding too. Well, it was reliable for years, and then it reached a point where it just suddenly stopped working... a sheared slide catch so the slide could never be locked open, magazines that wouldn't free-fall anymore, recoil spring sticking out the front of the slide and jamming the weapon (which I've heard _is_ a common problem), last round in the magazine wouldn't feed... just lots of little stuff all at once. Kel-Tec customer service is some of the best in the industry, by the way, so naturally I sent it into them for TLC. When it came back, they had put a Parkerized slide on it (which I wasn't happy about since I can't stand two-toned guns, and the blued slide matched the black polymer frame very nicely). I'm surprised they sent it back, though, because the magazines still don't free-fall anymore (at least not 100% reliably), and the slide sticks when being retracted, especially when trying to reassemble the pistol. Sigh, I never bothered to even take it to the range since receiving it back, that's how disappointed I am with it. So the end of the sad story is that the P40 is now a safe queen, because I have totally lost confidence in the weapon. It has been replaced by a Kahr MK40... which is fine with me because the all-steel Kahr is a heck of a lot easier to control than the P40, not to mention a superior trigger pull, but I sure hate giving up half my magazine capacity by making the switch!
So I guess there's a reason the P40 was discontinued, huh?
I'd send it back to the factory again, but the last time I shipped a handgun it cost me $65 one-way! No thanks, that's a little too steep for my blood, just to throw away on shipping. I mean, it's not like the pistol weighs 300lbs or anything!
But the P11, P3AT, and P32 are top-notch as far as I'm aware... and the only bad thing I've heard about the SU-16 (from friends who own them) is that the "bipod" is, well, not very good (a good concept, though). Everything else about the SU-16 is great.
So bottom line: Buy a Kel-Tec!
John