The discontinuation will take place on 4th June 2013. From then onwards, you will not be able to use the service to transfer personal funds to anyone.
This does not affect payment for goods and services.
This only affects personal transfers. Sure, you could still transfer to friends with that option but from what I remember, I once selected that “I’m paying for goods or services” option and part of the funds was deducted and the receiving party got less. 🙁