I have what might be the same problem.  pppoeconf works the first time
then fails after 2 restarts.  I undo the modifications of pppoeconf to
/etc/network/interfaces and run it again.  Works, then fails after 2
restarts.

I try from live CD and the Network manager works, so I reinstall ubuntu,
network manager does not work.  I go back to liveCD, network manager no
longer works.

Let me add that I think it is a problem with avahi.  Every time it works
the only interface that shows up is "eth0", but when it fails it usually
ends up stalling for a bit while it creates "eth0:avahi".

-- 
PPPoE internet connection fails after an update for Feisty Fawn Beta
https://bugs.launchpad.net/bugs/97451
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