Via this offer on WHT, VPSRepublic has some some amazingly cheap VPS deals, starting at $3.50/month (!!). You get
128MB guaranteed / 256MB burstable memory
1GB storage
75GB monthly data transfer
OpenVZ
Debian / Ubuntu / CentOS / Fedora / Gentoo / OpenSUSE
Their standard plan also fits into the criteria at $5.50/month with 256MB/512MB of memory. Their servers are at [...]