PROGMEM does not seem to be working.

Actually I finally found out what's going on. It seems the Arduino example is depreciated (specifically, the "prog_char" and "prog_int", etc.. type of declaration).

They still work in Arduino 1.0.1 as I use them (see below excerpts)

// Day Strings
prog_uchar Day01[] PROGMEM = {
    "Sunday \0"};
prog_uchar Day02[] PROGMEM = {
    "Monday \0"};
prog_uchar Day03[] PROGMEM = {
    "Tuesday \0"};
prog_uchar Day04[] PROGMEM = {
    "Wednesday \0"};
prog_uchar Day05[] PROGMEM = {
    "Thursday \0"};
prog_uchar Day06[] PROGMEM = {
    "Friday \0"};
prog_uchar Day07[] PROGMEM = {
    "Saturday \0"};
//Day String Pointer Table
prog_uchar *day_table[] PROGMEM ={
    Day01,
    Day02,
    Day03,
    Day04,
    Day05,
    Day06,
    Day07,
};
    int x = RTC.getDayOfWeek();
    chrBuffer[0] = ' ';
    chrBuffer[1] = ' ';
    strlcpy_P(chrBuffer+2, (char*)pgm_read_word(&(day_table[x-1])), sizeof(chrBuffer));