Turning KMS on didn't work for me either - I also got mangled fonts plus other corruptions. I attach the output of dmesg, there are some error messages like...
[15318.655652] i2c-adapter i2c-1: unable to read EDID block. [15318.655657] radeon 0000:01:00.0: LVDS-1: no EDID data I wonder if we should open another bug, maybe at bugs.freedesktop.org, to see which ATI chips are affected... 01:00.0 VGA compatible controller [0300]: ATI Technologies Inc Radeon RV250 [Mobility FireGL 9000] [1002:4c66] (rev 01) ** Attachment added: "dmesg" http://launchpadlibrarian.net/33726635/dmesg -- (Needs KMS) Background and full screen apps don't show up when Normal Visual Effects on (Radeon 7500) https://bugs.launchpad.net/bugs/444139 You received this bug notification because you are a member of Ubuntu-X, which is the registrant for xserver-xorg-driver-ati. _______________________________________________ Mailing list: https://launchpad.net/~ubuntu-x-swat Post to : ubuntu-x-swat@lists.launchpad.net Unsubscribe : https://launchpad.net/~ubuntu-x-swat More help : https://help.launchpad.net/ListHelp