After a routine update I could boot it normally into:

Linux XXX 3.2.0-24-generic-pae #38-Ubuntu SMP Tue May 1 16:40:26 UTC
2012 i686 i686 i386 GNU/Linux

ii  linux-image-3.2.0-24-generic-pae        3.2.0-24.38
Linux kernel image for version 3.2.0 on 64 bit x86 SMP

Fixed?

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https://bugs.launchpad.net/bugs/1000655

Title:
  3.2.0-24-generic-pae panics on an encrypted LVM/LUKS root mount -
  system unaccessible

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