FreeBSD 7.1 Release, Postgres v8.3.7 and confusion on a howto

All,

I'm following this howto:
http://www.howtoforge.com/virtual_hosting_vsftpd_postgresql_freebsd

and can't get past setting up the database.

I've installed postgres, and it starts successfully after an initdb
[1], but I come to a full stop after the following commands:

it-kbuff-fbsd# su - pgsql
$ psql system
psql: FATAL: database "system" does not exist

Huh? Is it a problem with the howto, or a mismatch between the howto
and version of postgres I'm using, or am I performing a newb stunt?

Any help appreciated.

Thanks,

Kurt

[1] Results from initdb
it-kbuff-fbsd# /usr/local/etc/rc.d/postgresql initdb
The files belonging to this database system will be owned by user "pgsql".
This user must also own the server process.

The database cluster will be initialized with locale C.
The default text search configuration will be set to "english".

fixing permissions on existing directory /usr/local/pgsql/data ... ok
creating subdirectories ... ok
selecting default max_connections ... 40
selecting default shared_buffers/max_fsm_pages ... 28MB/179200
creating configuration files ... ok
creating template1 database in /usr/local/pgsql/data/base/1 ... ok
initializing pg_authid ... ok
initializing dependencies ... ok
creating system views ... ok
loading system objects' descriptions ... ok
creating conversions ... ok
creating dictionaries ... ok
setting privileges on built-in objects ... ok
creating information schema ... ok
vacuuming database template1 ... ok
copying template1 to template0 ... ok
copying template1 to postgres ... ok

WARNING: enabling "trust" authentication for local connections
You can change this by editing pg_hba.conf or using the -A option the
next time you run initdb.

Success. You can now start the database server using:

/usr/local/bin/postgres -D /usr/local/pgsql/data
or
/usr/local/bin/pg_ctl -D /usr/local/pgsql/data -l logfile start