No idea if he had the systems manual or not -- again, the only info I have is what is in that email I posted. I agree that if the systems manual was available that should be enough, but my impression from that email was that he didn't have the required information in hand during that time off to study. No idea if he was actually being paid during that break or not.
This particular guy who wrote that is a heavy background pilot (KC-135 and T-6 instructor), so I don't have any post-undergraduate common training experiences with him and I can't speak to his particular expectation level based on his military experience. As a undergraduate pilot training student (which we both were), there is a massive amount of information thrown at you in a short period of time, and it is up to each student to invoke their own personal study ethic to consume it all and learn/memorize what will be important to perform. In many ways, there is no hand-holding at all, so I don't think there is an expectation from military training that all the information needed to succeed will be served up on a big silver plate. Clearly, though, he was nonplussed with the level of information provided by PSA compared to what was going to be expected at the Oral. On the other hand, he is at another regional currently and had only good things to say about the training there, so clearly it isn't a simple mis-fit between the expectations of military/USAF training plainly compared to civilian/121 training -- there was definitely something about PSA that rubbed him the wrong way. <shrug> I don't have an opinion either way, just presenting the story as a piece of the puzzle for folks thinking about going to PSA.
If 121 training is anything like the initial Type ride/ATP check I did at FSI, I think it was considerably easier (and provided less information and more shallow in-flight training) than the fighter and trainer qualification courses I've been though in the AF. But, again, I have zero 121 experience personally so I don't know how a FSI type compares.