Originally posted by harioharima Hope you didn't interpret my question as a slur of some kind on Pentax. That's not the case. I am happy in general with the K-01.
That said, the Olympus prime pancake lenses most certainly do not need to be manually retracted -- even the e-p1 has a setting for automatic retraction. The zooms are a different story.
No slur of Pentax taken (as an owner of multiple different camera brands, I'm far less offended than many!).
With that said, sorry to say, but having owned the e-p1, e-p2, e-pl1, and e-pm1 (I think that is it, haha...oh wait, and the e-m5, but I had the 12-50mm higher end kit lens with that) all at one time or another, they most definitely do not have any sort of automatic retraction. You have to hold a button forward and manually twist the lens to retract for storage and extend into shooting position. The smaller Olympus 17mm f2.8 pancake lens (which I suppose could be considered a kit lens since they do sell it in as optional kits) simply has a very short focus throw, and as small as even it is, it is still twice as big as the 40mm xs to start!
Like I said before, if you want the 40mm xs to be as compact as possible before turning it off and putting it away, just focus on a far distant subject - it is shortest when focusing at infinity.