I can confirm this issue (also without compiz), and it has already been
reported upstream.
** Changed in: xserver-xorg-video-ati (Ubuntu)
Assignee: Tormod Volden (tormodvolden) => (unassigned)
Status: Incomplete => Confirmed
** Bug watch added: freedesktop.org Bugzilla #17254
https://bugs.freedesktop.org/show_bug.cgi?id=17254
** Also affects: xserver-xorg-driver-ati via
https://bugs.freedesktop.org/show_bug.cgi?id=17254
Importance: Unknown
Status: Unknown
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totem video is garbled with ATi 9200 SE when compiz is enabled
https://bugs.launchpad.net/bugs/274582
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