I have the same problem with Dell Inspiron 1420 having Lucid.
You can try following steps (worked for me):
1) sudo rmmod -f dell-laptop
2) Add "blacklist dell-laptop" in /etc/modprobe.d/blacklist.conf

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[Lucid] Network Manager Applet Wi-Fi icon always shows red exclamation mark
https://bugs.launchpad.net/bugs/539300
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