I have just done a few tests and I can boot into 2.6.32-15-generic and I
can consistently shut the laptop lid and it goes into stand by. In
2.6.32-16-generic the machine fails to go into standby and upon opening
the lid I sometimes get a message that X is in a low resolution. If I go
to one of the terminals and log in and ps -ef | grep gdm I find that gdm
is in failsafe mode.

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suspend when closing laptop lid doesn't work
https://bugs.launchpad.net/bugs/44058
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