I see this problem since precise, and it clearly is not fixed in the latest 
quantal.
Please note that whatever caused this problem, it appeared in precise. I never 
had USB speed issues in oneiric.

Today, I created USB installation media, using Ubuntu's "Startup disk creator", 
from (a) the latest quantal release, (b) precise release, (c) oneiric release.
Results:
(a) and (b): Live image takes up to 10 minutes just to boot up, then system is 
so slow it is unusable.
(c): Live image boots up in approx. 2 minutes and is usable.

Can anyone confirm that this problem was not present in oneiric, but
appeared in precise?

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https://bugs.launchpad.net/bugs/500069

Title:
  USB file transfer causes system freezes; ops take hours instead of
  minutes

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