Story Jumper is a new site that lets kids create their own story books. Online versions are free, and you can pay for hard copies.
Registration is quick and easy. You can create your books from “scratch” or use one of several templates they have (one or two of them didn’t seem particularly intuitive to me, but most were fine, and the “scratch” version was certainly easy). The offer lots of easy “props” to integrate into the stories, and you can upload your own photos and type your own text. Once you’re finished, you can email the link to yourself and post it on a student/teacher blog or website.
I’m adding it to The Best Places Where Students Can Write Online.