I have exact the same issue with the fglrx (post-release update)
version. But sometimes I don't even get as far as that, and I'm left
with only a black screen. So maybe I'm suffering from two bugs.

Hardware: Dell Studio 1557, AMD HD 5470

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https://bugs.launchpad.net/bugs/993525

Title:
  [Dell Precision M6500 with ATI chipset] Suspending by closing the lid
  corrupts display

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