I can confirm this bug as well. Steps:
1) Go to Places -> Connect to Server
2) Input server information and then click "Connect"
The expected result here (as it was in previous versions) is that an
icon appears on the desktop, which when you double-click it would then
actually connect to the server. This in itself is somewhat misleading
since the previous dialog says "Connect", but when you click that button
it doesn't actually connect.
In any case, the icon no longer appears on the desktop after clicking
connect. Nothing happens. However when you click on "Places" you see
the link to the new server just above where it says "Connect to Server".
When you select that then you are prompted for your credentials (if any)
and it then makes the connection.
** Changed in: Ubuntu
Status: Unconfirmed => Confirmed
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[Feisty]"SSH-Server connection" fails in Gnome (Gui)
https://launchpad.net/bugs/92226
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