I think this it's fixed in git upstream
(http://lxde.git.sourceforge.net/git/gitweb.cgi?p=lxde/lxterminal;a=commitdiff;h=20d518389a6d2e2cac761d62890c8321397d292a)
However, it's quite a big change for Lucid, I think the x-terminal-
emulator alternative need to be dropped for Lucid.
** Changed in: lxterminal (Ubuntu)
Status: New => Triaged
** Changed in: lxterminal (Ubuntu)
Importance: Undecided => Medium
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[lucid] lxterminal does not honor x-terminal-emulator -e option
https://bugs.launchpad.net/bugs/559556
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