I know this bug report has been closed but I'd still like to leave a
record for myself and for any other having the same problems.

@Rolf
You might have been right about there being more than one issue at play here.  
Since reporting this, I've had to stop using lightdm because of it sending me 
into low graphics mode ("message about running in low graphics mode" in 
original report). 

 I found out that lightdm's greeter is defined in
/etc/lightdm/lightdm.conf and as of recent:

greeter-session=unity-greeter


I investigated further and realized  that there is also a lightdm-gtk-greeter. 
I installed it and changed the above file to reflect:

greeter-session=lightdm-gtk-greeter


Result
No more being thrown into low graphics mode. And lightdm seems less buggy than 
GDM.

I still use ~/.xprofile as defined in my previous comment. I'm not sure
if it's still helping out at the moment, but it's still there, as a fall
back if things break, usually during major upgrades.

No xorg.conf is being used.

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https://bugs.launchpad.net/bugs/1047156

Title:
  EDID does not allow LCD widescreen configuration

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