Seems to work fine for me in 12.10 I think you are using 12.04?
** Also affects: indicator-session
Importance: Undecided
Status: New
** Tags removed: dconf restart shutdown
** Tags added: quantal
** Tags removed: quantal
** Attachment added: "Screenshot from 2012-10-16 13:52:03.png"
https://bugs.launchpad.net/indicator-session/+bug/1015558/+attachment/3399934/+files/Screenshot%20from%202012-10-16%2013%3A52%3A03.png
** Changed in: indicator-session
Status: New => Fix Released
** Changed in: indicator-session (Ubuntu)
Status: New => Fix Released
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https://bugs.launchpad.net/bugs/1015558
Title:
restart not available when suppress-shutdown-menuitem is set
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