The lcd screen distorts & my pictures show up pink on the display screen on my ixus 500

This sounds like it might be a defective CCD imager. If so, Canon should fix this for you for free, including free shipping both ways. This is regardless of your camera's warranty status. Please check this link for more info.
Applicable cameras include:
A40, A60, A70, A75, A80, A85, A95, A300, A310, S1 IS, S60, S200, S230, S330, S400, S410, S500, SD100, SD110, IXUS V2/V3/300/400/430/500/II/IIs, IXY Digital 200a/300a/320/400/450/500/30/30a

This sounds like it might be a defective CCD imager. If so, Canon should fix this for you for free, including free shipping both ways. This is regardless of your camera's warranty status. Please check the following two links for more info:
　
http://camerarepair.blogspot.com/2007/11/canon-digital-cameras-showing-black.html
　
http://www.usa.canon.com/consumer/controller?act=PgComSmModDisplayAct&fcategoryid=225&modelid=13390&keycode=2112&id=29819

Applicable cameras include:
A40, A60, A70, A75, A80, A85, A95, A300, A310, S1 IS, S60, S200, S230, S330, S400, S410, S500, SD100, SD110, IXUS V2/300/400/430/500, IXY Digital 200a/300a/400/450/500

This sounds like it might be a defective CCD imager. If so, Canon should fix this for you for free, including free shipping both ways. This is regardless of your camera's warranty status. Please check the following two links for more info:
　
http://camerarepair.blogspot.com/2007/11/canon-digital-cameras-showing-black.html
　
http://www.usa.canon.com/consumer/controller?act=PgComSmModDisplayAct&fcategoryid=225&modelid=13390&keycode=2112&id=29819
　
Applicable cameras include:
A40, A60, A70, A75, A80, A85, A95, A300, A310, S1 IS, S60, S200, S230, S330, S400, S410, S500, SD100, SD110, IXUS V2/300/400/430/500, IXY Digital 200a/300a/400/450/500

This sounds like it might be a defective CCD imager. If so, Canon should fix this for you for free, including free shipping both ways. This is regardless of your camera's warranty status. Please check the following two links for more info:
　
http://camerarepair.blogspot.com/2007/11/canon-digital-cameras-showing-black.html
　
http://www.usa.canon.com/consumer/controller?act=PgComSmModDisplayAct&fcategoryid=225&modelid=13390&keycode=2112&id=29819

Applicable cameras include:
A40, A60, A70, A75, A80, A85, A95, A300, A310, S1 IS, S60, S200, S230, S330, S400, S410, S500, SD100, SD110, IXUS V2/300/400/430/500, IXY Digital 200a/300a/400/450/500

Why haven't you tried Canon directly. They'll fix it, and for FREE! (I'm not kidding here).

This sounds very much like the symptoms of a defective CCD imager. If so, Canon should fix this for you for free, including free shipping both ways. This is regardless of your camera's warranty status. Please check the following two links for more info:
　
http://camerarepair.blogspot.com/2007/11/canon-digital-cameras-showing-black.html
　
http://www.usa.canon.com/consumer/controller?act=PgComSmModDisplayAct&fcategoryid=225&modelid=13390&keycode=2112&id=29819
　
Applicable cameras include:
A40, A60, A70, A75, A80, A85, A95, A300, A310, S1 IS, S60, S200, S230, S330, S400, S410, S500, SD100, SD110, IXUS V2/300/400/430/500, IXY Digital 200a/300a/400/450/500

This sounds like it might be a defective CCD (not LCD) imager. If so, Canon should fix this for you for free, including free shipping both ways. This is regardless of your camera's warranty status. Please check the following two links for more info:
　
http://camerarepair.blogspot.com/2007/11/canon-digital-cameras-showing-black.html
　
http://www.usa.canon.com/consumer/controller?act=PgComSmModDisplayAct&fcategoryid=225&modelid=13390&keycode=2112&id=29819

Applicable cameras include:
A40, A60, A70, A75, A80, A85, A95, A300, A310, S1 IS, S60, S200, S230, S330, S400, S410, S500, SD100, SD110, IXUS V2/300/400/430/500, IXY Digital 200a/300a/400/450/500

that is not a malfunction, if the "display" button is pressed, the LCD turns off, (black), but if the mode switch is rotated to movie or panorama, it comes back on but will go black again if switched into the other 2 modes. when in one of the 2 modes that show black, simply press "display" and the LCD will come back on.

FYI "GURU", the CCD malfunction manifests as a purple colored screen with various levels of distortion, not black

I had the same problem with my camera, suddenly the LCD and picture shows some pink image overlay bands on the top usually. When focusing the bands sometimes disappear. But they always shows on image as on the LCD. Canon seems to fix this problem as goodwill (guarantee is not valid anymore) so I sent my camera to service for this. Hope they accept this otherwise it is broken, LCD common problem. (Solution or same problem we will see)

This sounds like it might be a defective CCD imager. If so, Canon should fix this for you for free, including free shipping both ways. This is regardless of your camera's warranty status. Please check the following two links for more info:

http://camerarepair.blogspot.com/2007/11/canon-digital-cameras-showing-black.html

http://www.usa.canon.com/consumer/controller?act=PgComSmModDisplayAct&fcategoryid=225&modelid=13390&keycode=2112&id=29819

Applicable cameras include:
A40, A60, A70, A75, A80, A85, A95, A300, A310, S1 IS, S60, S200, S230, S330, S400, S410, S500, SD100, SD110, IXUS V2/300/400/430/500, IXY Digital 200a/300a/400/450/500

The problem could be either the display screen has partially failed (red green or blue color is not displaying) OR the screen's connection to the control board needs to be cleaned. Either repair requires disassembly. The charge at my shop would be $49 labor plus parts if required.