I think Reid's already made a decision, but starting lineup doesn't have to be announced until late next week and there's no reason to tip his hand to Belichick. The injury report is a constant source of gamesmanship in the NFL, and fate has gifted Reid with a really great player to taunt the Pats with, of course he'd probably rather have TO as a definite but such is life.
You're probably right. The Patriots know even if T.O. plays he won't be 100%. If he does play he's going to get hammered on every play.