Virtual terminals garbled after restarting X

[Gaussian]

Steps to produce the bug:
1. Boot to Intrepid, let X-session start
2. Restart X by either logging out or CTRL-ALT-Backspace

Results:
Instead of Virtual Terminal flashing quickly on the screen a garbled version of the screen before restart appears.
Also: Virtual terminals work perfectly until restarting X or logging out of X session. After logging out of X all virtual terminals are garbled in a similar way (a garbled version of the "graphical screen").

Reproducible:
Always

Maybe relevant info:
Up to date Intrepid, kernel-2.6.27-3-generic (32-bit)

Machine: MSI-1221 (a.k.a System 76 Darter Ultra 2)
Graphics card: Intel Corporation Mobile GM965/GL960 Integrated Graphics Controller

Grub boot line:
/vmlinuz-2.6.27-3-generic root=/dev/mapper/ubuntu-root ro nofb
(I have varied with every combination involving vga options and removing nofb). Results always the same.

I think this could be related to https://bugs.launchpad.net/ubuntu/+source/linux/+bug/246269

[Ian Weisser (ian-weisser)]

Thank you for taking the time to report this bug and helping to make Ubuntu better. You reported this bug a while ago and there hasn't been any activity in it recently. We were wondering is this still an issue for you? Can you try with latest Ubuntu release? Thanks in advance.