Experiencing a similar problem. The problem goes away after logging out
and logging in again.

Running Ubuntu 12.04 with Xfce 4.10

** Attachment added: "Screenshot with blinking cursor artifacts"
   
https://bugs.launchpad.net/ubuntu/+source/xorg/+bug/1206384/+attachment/3977465/+files/screen_20140211.png

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https://bugs.launchpad.net/bugs/1206384

Title:
  XFCE desktop has screen corruption, logs out

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