The problem with the mass-media in our modern sound-byte cultures is that they are not very good at communicating the real facts and issues, and tend to focus on the sensational.
Whilst in this case there was (as always) an element of media hype, this was not completely without good reason. I believe that it was the WHO who raised the alarm about this, and they usually don't do so without good reason.
There are a number of factors that affect the "pandemic risk" of a particular virus, including: how infectious is it, how long is the infectious period before onset of symptoms, death-rate. transmission method(s) (ie. is it
airborne?),...etc..
As I understand it, the main concern which the WHO have had with H1N1 is that it is new in humans, so there is no natural immunity in the population, and no
specific drug treatments, or vaccines available to treat it, and it's quite infectious (via
airborne transmission)
On the plus side, because symptoms appear quite early on in the first few days of infection, and the infection either kills the victim or burns out in a couple of weeks, so far it's been relatively easy to identify victims early on, and quarantine them.
"Fast-burning" viruses will usually burn out before they can spread too far, whereas a slow burning virus can spread around the world before it's even diagnosed. (eg HIV/AIDS which remained hidden and undiagnosed for decades while slowly spreading around the world, purely because it takes years to kill it's victim)
NOTE: even though HIV is not a very infectious disease, I believe that it IS considered a pandemic by WHO's definitions because of the difficulty in preventing it's spread because of it's long gestation period.
A major pandemic risk that exists today which didn't exist in 1918 is the prevalence of international air travel -- note that the 1918 flu virus still managed to spread around the world even without this modern transmission vector.
Imagine if the H1N1 virus had been infectious for several weeks or months before symptoms appeared...(We probably wouldn't be sitting here discussing it now!!

)
Mandatory reading IMO for anyone interested in viruses is:
"The Hot Zone" by Richard Preston - "A terrifying true story"
World famous horror writer Stephen King said this about it: "One of the most horrifying things I've ever read"
