*** This bug is a duplicate of bug 444139 ***
https://bugs.launchpad.net/bugs/444139
I don't know if this a duplicate bug report as this is the one that fit
my search criteria, as for the "original report" I hope someone has
posted a solution.
I had this problem before on 8.xx and here again.
I run a radeon 9250 and the fix then as now is to install from the
software centre
ATI binary X.Org driver
Then do a reboot
..and hopefully, you'll be on your way
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[karmic] Desktop blacked out when Compiz is enabled on -ati driver
https://bugs.launchpad.net/bugs/421334
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