Will PSN survive... I think they will provided that they fix their credit/collections problem ASAP and install the people/systems so that this mess won't reoccur.
Another factor is commodity prices. If oil prices were to drop, after a couple of quarters, it would hit their bottom line. I don't think that will happen.
Consider as well that at least some of PSN's competitors must be working on something that is as good or better than what PSN offers. I don't believe they're all just going to roll over and let PSN eat their lunch in the long run.
One other thing to consider... with how low PSN is trading, the company could become a takeover target... if it isn't already.
I know if I was one of PSN's competitors and had the cash, I would at least be thinking about it.