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Soriku said:

http://www.1up.com/do/newsStory?cId=3168827 (full interview at link)

YK: I'd say that it's on schedule as we'd originally planned, but it certainly hasn't been easy, and it's been quite a time-consuming process. FFXIII currently functions in all the basic ways, but we're still working to polish the engine. People may be under the impression that it's a total package that only needs to be tweaked a little bit in order to port the game to 360, but that's not the case -- we still have to fix it to make it more platform-specific."

This is what will anger people that bought a PS3 for FF XIII.  That it will certainly take longer to release due to a 360 port.  Xmas 2010 is starting to sound optimistic.