I am no longer experiencing this bug. And as I am the one who reported
the bug, I consider it fixed. My setup is a fresh installation of
Kubuntu 9.04 Final and the compiz-kde package installed. Compiz now
works fine with kwin decorations.
** Changed in: compiz (Ubuntu)
Status: New => Fix Released
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Compiz does not work in Jaunty KDE 4.2 using compiz-kde
https://bugs.launchpad.net/bugs/325148
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