I can confirm that it now is working without the xorg.conf.
I also got dual screen working, how ever Kubuntu seems to forget this settings 
after every X server restart.
I am fixing this with the following lines in /etc/kde4/kdm/Xsetup:
xrandr --output HDMI1 --primary 
xrandr --output HDMI1 --mode 1920x1080
xrandr --output HDMI3 --mode 1280x1024 
xrandr --output HDMI3 --left-of HDMI1

I am sure there would be a better solution but that’s how it works for
me.

My system: 
Core i5 2500K, 3.3GHz with HD 3000 GPU
Kernel: Linux PC2 2.6.38-8-generic #42-Ubuntu SMP Mon Apr 11 03:31:24 UTC 2011 
x86_64 x86_64 x86_64 GNU/Linux

-- 
You received this bug notification because you are a member of Ubuntu-X,
which is subscribed to xserver-xorg-video-intel in Ubuntu.
https://bugs.launchpad.net/bugs/732304

Title:
  Intel sandy-bridge dual-head GPU hang

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