I jut got another email from Netflix, and it looks like they decided not to remove profiles.

You spoke, and we listened. We are keeping Profiles. Thank you for all the calls and emails telling us how important Profiles are.
We are sorry for any inconvenience we may have caused. We hope the next time you hear from us we will delight, and not disappoint, you.
-Your friends at Netflix

Maybe the petitions, complaints and bad press they were getting prompted the change of heart. I also wonder if maybe the 1-2% they quote a the only subscribers using that feature was maybe a little low. Whatever it was, thank you for listening to your customers Netflix.