Andy
I see massive improvement, i cannot reproduce in terminal or slashdot/firefox 
yet. However i was able to get the problem to manifest when clicking between 
files+folders and applications in unity launcher (see attached)

$ uname -a
Linux starpc29a 2.6.38-7-generic #35lp717114v201103171030 SMP Thu Mar 17 
10:33:13 UTC 2011 i686 i686 i386 GNU/Linux


** Attachment added: "corruption in right hand side and leftside ("recent" 
icon)"
   
https://bugs.launchpad.net/ubuntu/+source/xserver-xorg-video-intel/+bug/717114/+attachment/1914676/+files/Screenshot-1.png

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https://bugs.launchpad.net/bugs/717114

Title:
  [i945gm] Screen Corruption with new Xorg stack with terminal programs

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