This bug was fixed in the package usplash - 0.5.29

---------------
usplash (0.5.29) jaunty; urgency=low

  * libusplash.c: Revert signal handler changes which seem to have caused
    problems with Xorg initialization in some situations (LP: #327230).

 -- Kees Cook <[email protected]>   Tue, 10 Feb 2009 11:27:11 -0800

** Changed in: usplash (Ubuntu)
       Status: Confirmed => Fix Released

-- 
Lost all graphics on "Jaunty" after last update.
https://bugs.launchpad.net/bugs/327230
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