Also seeing this issue with a fresh Lucid install on 
IBM T60 ThinkPad
ATI Radeon Mobility X1400
IBM/Lenovo 20" Monitor

For the external monitor in Lucid, setting refresh rates of either 70Hz
or 72Hz results in an "Input signal out of range" message on the
external monitor.  In Karmic, either of those settings (as well as 60Hz
& 75Hz) worked fine.  Setting a 75Hz refresh rate shows less of the
'vibration' effect, but it's still quite bad.

I don't think this is particularly relevant, but the Lucid Monitor
Preferences dialog identifies the external monitor as 'Lenovo Group
Limited 20"', while the Karmic dialog identified it as simply as 'Lenovo
20"'.

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[Lucid AMD64] Dual monitor distortion / crash - ATI mobility Radeon X1400
https://bugs.launchpad.net/bugs/573290
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