Yes you are right. It has most of the tools that PS have like Pen Tool, and various others. I'm using GIMP for at least 3 years now on my graphics and the program never really fails me.
Photoshop is definately the superior program, but they you get what you pay for , GIMP is pretty decent for a free program.
I don't understand the competition.. GIMP was a ripoff of early Photoshop. Photoshop CS4 has enough power to be used by media sources and multinational organisations world-wide.. In comparison the only use the GIMP has is for people who create banners and images for the internet. Photoshop is far far better than GIMP, hands down..