The related question has more information and links to the sources of the information
No the PSN is down world wide
Yes
Yes, rumors are that PSN will be back online May 31 Source: Sony
The Online Gamer - 2009 PSN Down 2-4 was released on: USA: 17 May 2011
Yes, you can have a LAN (Local area network) party when the PlayStation Network PSN) is down. A LAN connection does not require Internet access, which is what the PSN relies on. As long as you have an ethernet cord and two or more PlayStation 3 systems, a LAN party is possible.
Because PSN is down.
The site is down worldwide see related question
It is something that will get you banned from the PSN. Most commonly passwords are stolen when you notice someone entering it or they tell you the password or they write it down somewhere where anyone can find it
sadnly no
Yes, though PlayStation says they will have it back up very soon
If by PSN you mean the PlayStation Network. It is not shut down, something just messed up on their end. (if you are paying for any services, make sure to call then often to make sure they credit your account or offer other forms of compensation)
The PSN had a security breach in 2011. The downtime started on April 20th, and ended as PSN access was restored on a region by region basis starting from May 15th.