According to the USMint website it costs 2.41 cents to create a penny when it is only worth 1 cent. This seems to be a waste of spending as the penny can be used in rare instances (e.g. cannot be used in vending machines, parking meters, tolls). Eliminate the penny from future production and reduce costs.
Reference: http://www.usmint.gov/faqs/circulating_coins/?action=faq_circulating_coin