Did a complete fresh Kubuntu 10.04 install today - same result!
btw: I have to boot with kernel command line i915.modeset=1 or Ubuntu will 
freeze while booting (before KDM comes up)

Will go for Fedora next as nobody seems to care...

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[kubuntu] [karmic] [regression] Mouse problems after resume if "lock screen on 
resume" is NOT checked
https://bugs.launchpad.net/bugs/613073
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