This appears to have been fixed: http://bugzilla.gnome.org/show_bug.cgi?id=104841
Please re-open this bug if you're still getting this issue.
** Changed in: gnome-terminal (Ubuntu)
Priority: Medium => None
Status: Unconfirmed => Fix Released
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gnome-terminal display corruption
https://launchpad.net/malone/bugs/23924
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