Disabling KMS workarounded this issue for me.

I was wondering. Since this bug still affects many user with a *default*
configuration, which is KMS and desktop effects with the radeon module
ENABLED, wouldn'it be appropriate to change default settings? How is
ubuntu policy about that?

-- 
[RV710 & RV730] X freezes starting on 10th April
https://bugs.launchpad.net/bugs/565790
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