They have a new law, that even if you succesfully give up the US citizenship, you still are subject to taxation for next 10 years.
The "new" law isn't really new, it's been renewed and many countries have it - It's not about you paying US taxes for 10 more years - that's nonsense - it's about them bring able to keep your records for 10 years after you move - they're desperately trying to fight tax evasion, that's all.
...but to answer you question, yes, really. For example until recently Fedex pilots had an option to be "based" in Subic Bay (Manila), Philippines (the domicile just closed and moved to Hong Kong instead). Anyways, each and everyone of them claimed the overseas living exemption. The article is a few years old, I think it's $86,000 now?
Also, there are some other ways. I know of several United pilots who fly out if Dulles, VA but live and pay taxes in Sweden. All legal and with IRS's approval - their wives are Swedish, have extended families and they all chose to live in Sweden. I talked to one of them who said his taxes are much higher now, his commute to work is looong but his wife won't budge (she especially hates Virgina/Washington, DC area - can't blame her there... He said he'll keep commuting for a few more years but then it's "his" turn to decide where they'll live. Yeah, right... ;)