  We report the observation of Bs-Bsbar oscillations from a time-dependent
measurement of the Bs-Bsbar oscillation frequency Delta ms. Using a data sample
of 1 fb^-1 of p-pbar collisions at sqrt{s}=1.96 TeV collected with the CDF II
detector at the Fermilab Tevatron, we find signals of 5600 fully reconstructed
hadronic Bs decays, 3100 partially reconstructed hadronic Bs decays, and 61500
partially reconstructed semileptonic Bs decays. We measure the probability as a
function of proper decay time that the Bs decays with the same, or opposite,
flavor as the flavor at production, and we find a signal for Bs-Bsbar
oscillations. The probability that random fluctuations could produce a
comparable signal is 8 X 10^-8, which exceeds 5 sigma significance. We measure
  Delta ms = 17.77 +- 0.10 (stat) +- 0.07 (syst) ps^-1
  and extract
  |Vtd/Vts| = 0.2060 +- 0.0007 (exp) + 0.0081 - 0.0060 (theor).
