The problem appears to be SD card related. ( I am using the SD card slot
for ready-boost in windows, and therefore just leave it in all the
time.)

I had a similar problem with my netbook and found a solution from the 
instructions here, I added the script to un-mount the SD card on sleep.
https://help.ubuntu.com/community/AspireOne/Ubuntu9.10

and it works for both the acer and my Thinkpad.

-Jason

-- 
Xorg freeze on suspend, flashing moon icon.
https://bugs.launchpad.net/bugs/557383
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