It does seem like every quarter they look for a way to reduce the amenities on P.S., but I don't think they're down to a lousy half sandwich and soup yet.
I used to connect through LAX or SFO on paid J (and even occasionally F, depending on client needs) rather than take a direct flight to the client location just because I found the P.S. service more comfortable. I'm sure I wasn't the only one. Why pay extra for three-class service if you're not even getting a decent meal out of it?