This seems to have been fixed in at least KDE 3.5.9 as I see 3 options:
* KGhostView
* Karbon 14
* Other
If you feel this is still an issue utilizing the latest version of KDE
(3.5.9), then I urge you to reopen this report. Thank you!
** Changed in: kdebase (Ubuntu)
Status: New = Fix
** Changed in: Ubuntu
Sourcepackagename: None = kdebase
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Postscript files fail to open in separate KGhostView from Konqueror
https://launchpad.net/bugs/84570
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