The Softpedia workaround fix worked for me.

Don't know *WHY* this is marked as Fix Released.

I have 10.04.1 from a fresh install and updates done, and this bug was still 
coming up.
(The remaster for 10.04.1 was released days after this fix).

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ubuntu-logo on VGA fb (as with nvidia or fglrx binary drivers) does not display 
crisply
https://bugs.launchpad.net/bugs/551013
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