When they say Oct. 2011, they mean fiscal yeat (FY) 2011, so that could be anywhere from Oct to Jan2011. PO box mail will still be put up and Express mail will be delivered, just no street delivery on Saturdays. I'm a postal employee, so we're watching closely how this will impact jobs. It all depends on Congressional approval. The Board of Governors recently approved 5-day so the Postal Regulatory Comission has to pass it next, then it goes to Congress.
There's just not enough mail anymore to support 6 days a week, and honestly, polls show the public doesn't care if one day is cut. The USPS is hoping for more early retirements, If that doesn't downsize us enough, those with less than 6 years of employment might get laid off. Current contracts with the unions ban layoffs, but the contracts are almost due to expire. When talks begin, look for major concessions.