Yes, it works.
You can hide Newsstand and it works exactly like those hundreds of posts and tips and videos say it does. We don't know exactly who figured this out -- coverage of the trick is pretty widespread at this point and there aren't exact credits -- but kudos to who did. It wasn't us.
Basically, there's a tiny bug in iOS 5 that allows you to stick Newsstand into a folder if you catch it just as you're making another folder. It's a litt
