
Nobody says "shall" anymore.

Perhaps "shall" is not used in North American street language but it's still current in laws, rules and regulations which express necessity or obligation.
"When the fire alarm rings, you shall go at once"
(Dwight D. Eisenhower was reputed to have fired an aide who could not understand a distinction between "shall" and "will".)
http://en.wikipedia.org/wiki/Shall_and_will

Yup, that's true. However, AFAIK, that distinction was mainly artificially constructed to work with Latin, and then forced onto the public as with the "don't end a sentence with a preposition" rule. (And I know English teachers who don't actually understand that rule. To them, "What did you step on?" is bad, but "What did you step on while running?" is okay, even though the structure is exactly the same.)