As a matter of fact, I haven't bought a travelling guitar yet. My travelling plans are postphoned for the time being, so the problem became less urgent.For travelling around Sydney and environs, I found a small guitar made in Italy Called a "Sisme model A". It has a trapezoidal tailpiece and a moveable bridge (like old Gibsons), so it can take fairly heavy strings with a light body construciton. It has a very small body with the dimensions of a classical but about 2/3 the depth. It also has a short (12 frets beyond the body) fingerboard. As to tone, well, if I could only learn how to make scratches it would sound like and old record :) That has its advantages. You can really hear the melody when fingerpicking. I carry it around with a cheap, light gig-bag with shoulder straps like a rucksack.
I did a lot of investigating of travel guitars, though, and I will get one someday. My opinion is that the Backpacker is probably the strongest one, and it seems to be offered cheaper by the month. I got my hands on one and I found it a bit awkward to play. You need a strap and even with the strap as it comes. But if you refasten the strap on the scroll (like all old-time guitarists did), it has fairly good balance.
I think the Baby Taylor is the closest to a "real" guitar. So is the Tacoma Papoose if you don't mind the higher tuning. I am interested in the Tommyhawk, but I couldn't find any info. The Vagabond looks interesting. Apparently it is played by some performing groups; but plugged in.
There is also the Soloete which is a folding guitar that you play while listening with an earphone (stethescope?) arrangement. It is a bit expensive, though.
Lingolucky: What do you do with the strings when you fold it?