Sleep mode and months of operation on small battery
Have a read through the Jeelabs blog which documents the author's very successful attempt at making a very low power wireless sensor node that can run for months off coin cells.

http://jeelabs.org

There is also a library based on this project called Jeelib:

http://jeelabs.net/pub/docs/jeelib/

Jeelib contains a class called Sleepy that allows for easy sleeping.

Rocketscream did a thorough test of the current consumptions with the different modes here:

http://www.rocketscream.com/blog/2011/07/04/lightweight-low-power-arduino-library/

According to them, you can get the ATMega328P down to 1.7uA.

Unless you do something about the power supply on a normal Arduino board you won't be able to extend the battery life by much at all. See my answer here for some more details:

Arduino powering from 9V battery