I had this same problem in Gutsy.
Here's my solution:

1. Open Synaptic

2. Highlight ubuntu-desktop and ubuntu-minimal

3. In the menu, select Package>Lock version

4. Click Mark all Upgrades and Apply (let the upgrade complete)

5. Highlight ubuntu-desktop and ubuntu-minimal once more

6. Unselect Lock version.

(to make sure everything's in working order after this, you can run
"sudo apt-get check")

-- 
Installation of "ubuntu-desktop" fails and prevents dist-upgrade (both to 
dapper and to edgy)
https://bugs.launchpad.net/bugs/40552
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