Public bug reported:

When desktop effects are enabled ("Windows wobble when moved" is active,
while "Workspaces on a cube" is not) and I log out of the system and
then log in back, the mouse-over effect does not show correctly for the
Places menu items. Similar problem occur for the Preferences and
Administration sub-menus of the System menu. All other panel menu items
have the mouse-over effect correctly. Additionally, application windows
do not respond properly (e.g. window border display correctly but window
contents do not). The only solution is to restart the machine.

HW: Pentium 4 2.66 GHz, 768 MB RAM, 128 MB PowerColor ATI Radeon 9200SE, 17' LG 
Studioworks 710E.
SW: Ubuntu Feisty 7.04 default installation.

** Affects: Ubuntu
     Importance: Undecided
         Status: Unconfirmed

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Incorrect display of Places, Preferences, and Administration menus
https://bugs.launchpad.net/bugs/112905
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