Not sure about Natty, but this is what I do to make floppy work in Lucid.
To summarize, reading (and writing) a floppy disk in Lucid Lynx (10.04) requires three steps:
1. Allow yourself to use the floppy by going to System->Administration->Users and Groups->Advanced Settings->User Privileges and click on "Use floppy drives"
2. Use the old version of udisks () by going to System->Administration->Synaptic Package Manager, find the udisks package, mark udisks for reinstallation, click on Package->Force Version, and select the 1.0.1-1build1 version (which is the old version). Then click on apply to finish the installation.
3. Remember to unclick udisks whenever Update Manager wants to install new updates, or you'll get the new version and floppy disks won't work anymore!
After the old udisks is installed (and the machine is rebooted), when you insert a floppy a cute little icon comes up on the desktop and in Nautilus (and on Disk Mounter if you have that installed). Left clicking on the icon and select Mount Floppy Disk will put an icon in Nautilus, and then you read, write, and format the floppy just like any other drive.