The hills aren't too bad compared to some - but are a lot worse than I'm used to! The seem to run regular double decker bus services on them just fine (despite having to wait behind cyclists on the up hill sections!).

I bought a Cannondale CAAD 9 with Shimano 105/Ultegra. Pretty cheap compared to 'back home' and a nice bike. The guy I ride with spent three times as much by getting a Cannondale System 6 with Ksyrium wheels!