Pano is a new app developed by three-man band Debacle Software that allows you to take up to 4 photos and combine them using a simple interface to create one seamless photo with automatic alignment and color correction.

There are a variety of options to make the resulting photo look professional and cool. The photo is then saved in the iPhone’s camera roll when you’re done. Final resolution can be up to 2600×600.

Check out some examples from users at http://www.flickr.com/groups/iphonepanoramas

The app is available for $2.99 from the App Store.