You must have a software glitch because the flash is supposed to be in the auto mode when the selector is in auto, unless you manually turn the flash off and the flash should go back to auto every time the camera is turned off and back on. Here's a work around. Turn the dial to indoor and use the flash button on the ring to set the flash to auto. In the indoor setting you can set the flash to on, off, or auto.
This worked for me and several others - I removed the 6 screws to the housing, eased the back and front plastic off, removed the plastic flash assembly shield screw.There, above the screen, you'll find a green and white ribbon cable.I carefully pushed them back into their seats and voila! The flash that used to only give me a blinking lightning bolt now works again after a 10 minute fix.
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