Jess,
If by "differentiate" you mean that the procedure is able to determine automatically that the response has more than two levels, then the answer to your question is "yes."
You need to understand "response level ordering" to interpret the results. A good source for that information is the SURVEYLOGISTIC documentation, which you can access here:
http://support.sas.com/documentation/onlinedoc/stat/index.html
Note, too, that the example in the "Getting Started" section and the first example at the end of the chapter both have a 5-level ordinal response.
HTH,
Susan