All part numbers are from Digikey

PartValueDesc.Digikey Part No.Unit Cost $USD
C110uF10UF 50V MINI ALUM ELECT (KA)P828-ND0.16
C21uF1.0UF 50V MINI ALUM ELECT (KA)P824-ND0.14
C322pFCAP 22PF 200V 5% CER RADIAL399-1926-ND0.11
C422pFCAP 22PF 200V 5% CER RADIAL399-1926-ND0.11
IC2MEGA168-PIC AVR MCU 16K 20MHZ 28DIPATMEGA168-20PU-ND4.11
IC47805IC REG 1A POS 0-125DEG C TO-220LM7805CT-ND0.45
LED1 LED 3MM GREEN CLEAR160-1144-ND0.19
Q116MHzCRYSTAL 16.000 MHZ HC49/US300-8499-ND0.63
R110KRES 10K OHM 1/4W 5% CARBON FILM10KQBK-ND0.06
R2220RES 220 OHM 1/4W 5% CARBON FILM220QBK-ND0.06
S1 SWITCH TACT 6MM MOM 100GFSW400-ND0.28
X1 CONN D-SUB RECPT 9POS AU FLASHA32510-ND3.06

A few extra parts for bootloader programming:

Qty.Desc.Digikey Part No.Unit Cost $USD
1PROGRAMMER AVR IN SYSTEMATAVRISP2-ND34.00
1CONN HEADER RT/A 10POS .100 TINA1920-ND0.83
1CONN HEADR BRKWAY .100 20POS STRA26509-20-ND1.00

thanks to Stephen Ludin for the Dec 2008 update