Can you successfully suspend & resume the machine? Also, if you can ssh
in while it's doing that, check what dmesg says. This sounds a bit like
bug 1085751.

** Package changed: xorg (Ubuntu) => xserver-xorg-video-ati (Ubuntu)

** Changed in: xserver-xorg-video-ati (Ubuntu)
       Status: New => Incomplete

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https://bugs.launchpad.net/bugs/1108967

Title:
  Choosing "Guest Session" makes screen flicker indefinitely

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