Much screen corruption 12.04 updated after change screen resolution

[candtalan]

(Not sure if it is xorg)

This looks very very similar to existing bug #949130
The linked video in that bug shows exactly th eproblem, good video.
I am simply filing this here because the machine is mostly unusable and a more clever relationship to the existing bug is not possible for me here.

Details:
New install ubuntu 12.04 on dell dimension E520, went ok, screen res as installed 1024x [1000 ish] good however, user wanted larger text and icons = lower screen res. At lower screen res the display then totally unusable, with no way to get back!! I did not realise what caused it a the time. I then used recovery mode to install Lubuntu desktop, which installed ok and looked ok. Byt again te large icions were requested and like an unkowing dolt I reduced te screen res, and bam, totaly unusabl;e screen display AGAIN. No way of getting back to the high res which was working.
After initial ubuntu install (which btw was a warm install from cd but special in that the home directory was not set to be formattted so home data was preserved) I almost immediately did updates but only a few available at this early date.
After Lubuntu desktop install again I did updates but with hindsight I think th eculprit is th ereduction of screen resolution, or at least its change, which in this case was always to reduced res.

NOTE
I am filing this bug using i think open box desktop (not ubuntu and not Lubuntu) because the others hav edisplays (now) which are totally un usable.

Note
It would be *very* useful if I knew a way to reset the screen res to default or high res using CL from recovery mode, but I dont.

lspci output:
[code]
==========================
user@user-Dell-DM061:~$ lspci
00:00.0 Host bridge: Intel Corporation 82P965/G965 Memory Controller Hub (rev 02)
00:01.0 PCI bridge: Intel Corporation 82P965/G965 PCI Express Root Port (rev 02)
00:02.0 VGA compatible controller: Intel Corporation 82G965 Integrated Graphics Controller (rev 02)
00:02.1 Display controller: Intel Corporation 82G965 Integrated Graphics Controller (rev 02)
00:19.0 Ethernet controller: Intel Corporation 82562V 10/100 Network Connection (rev 02)
00:1a.0 USB controller: Intel Corporation 82801H (ICH8 Family) USB UHCI Controller #4 (rev 02)
00:1a.1 USB controller: Intel Corporation 82801H (ICH8 Family) USB UHCI Controller #5 (rev 02)
00:1a.7 USB controller: Intel Corporation 82801H (ICH8 Family) USB2 EHCI Controller #2 (rev 02)
00:1b.0 Audio device: Intel Corporation 82801H (ICH8 Family) HD Audio Controller (rev 02)
00:1c.0 PCI bridge: Intel Corporation 82801H (ICH8 Family) PCI Express Port 1 (rev 02)
00:1d.0 USB controller: Intel Corporation 82801H (ICH8 Family) USB UHCI Controller #1 (rev 02)
00:1d.1 USB controller: Intel Corporation 82801H (ICH8 Family) USB UHCI Controller #2 (rev 02)
00:1d.2 USB controller: Intel Corporation 82801H (ICH8 Family) USB UHCI Controller #3 (rev 02)
00:1d.7 USB controller: Intel Corporation 82801H (ICH8 Family) USB2 EHCI Controller #1 (rev 02)
00:1e.0 PCI bridge: Intel Corporation 82801 PCI Bridge (rev f2)
00:1f.0 ISA bridge: Intel Corporation 82801HH (ICH8DH) LPC Interface Controller (rev 02)
00:1f.2 RAID bus controller: Intel Corporation 82801 SATA Controller [RAID mode] (rev 02)
00:1f.3 SMBus: Intel Corporation 82801H (ICH8 Family) SMBus Controller (rev 02)

==========================
[/code]
tia

ProblemType: Bug
DistroRelease: Ubuntu 12.04
Package: xorg 1:7.6+12ubuntu1
ProcVersionSignature: Ubuntu 3.2.0-24.37-generic-pae 3.2.14
Uname: Linux 3.2.0-24-generic-pae i686
.tmp.unity.support.test.0:

ApportVersion: 2.0.1-0ubuntu7
Architecture: i386
CompizPlugins: [core,composite,opengl,compiztoolbox,decor,vpswitch,snap,mousepoll,resize,place,move,wall,grid,regex,imgpng,session,gnomecompat,animation,fade,workarounds,scale,expo,ezoom]
CompositorRunning: None
CurrentDmesg:
 [ 14.864777] e1000e 0000:00:19.0: eth0: 10/100 speed: disabling TSO
 [ 14.864937] ADDRCONF(NETDEV_CHANGE): eth0: link becomes ready
 [ 25.624022] eth0: no IPv6 routers present
Date: Wed May 2 17:33:12 2012
DistUpgraded: Fresh install
DistroCodename: precise
DistroVariant: ubuntu
ExtraDebuggingInterest: Yes, if not too technical
GraphicsCard:
 Intel Corporation 82G965 Integrated Graphics Controller [8086:29a2] (rev 02) (prog-if 00 [VGA controller])
   Subsystem: Dell Device [1028:01dd]
   Subsystem: Dell Device [1028:01dd]
MachineType: Dell Inc. Dell DM061
ProcEnviron:
 LANGUAGE=en_GB:en
 TERM=xterm
 PATH=(custom, no user)
 LANG=en_GB.UTF-8
 SHELL=/bin/bash
ProcKernelCmdLine: BOOT_IMAGE=/boot/vmlinuz-3.2.0-24-generic-pae root=UUID=c912d170-f6c5-4e2e-8489-ac65c1b5c8cc ro quiet splash vt.handoff=7
SourcePackage: xorg
Symptom: display
UpgradeStatus: No upgrade log present (probably fresh install)
dmi.bios.date: 03/30/2007
dmi.bios.vendor: Dell Inc.
dmi.bios.version: 2.3.2
dmi.board.name: 0WG864
dmi.board.vendor: Dell Inc.
dmi.chassis.type: 6
dmi.chassis.vendor: Dell Inc.
dmi.modalias: dmi:bvnDellInc.:bvr2.3.2:bd03/30/2007:svnDellInc.:pnDellDM061:pvr:rvnDellInc.:rn0WG864:rvr:cvnDellInc.:ct6:cvr:
dmi.product.name: Dell DM061
dmi.sys.vendor: Dell Inc.
version.compiz: compiz 1:0.9.7.6-0ubuntu1
version.libdrm2: libdrm2 2.4.32-1ubuntu1
version.libgl1-mesa-dri: libgl1-mesa-dri 8.0.2-0ubuntu3
version.libgl1-mesa-dri-experimental: libgl1-mesa-dri-experimental N/A
version.libgl1-mesa-glx: libgl1-mesa-glx 8.0.2-0ubuntu3
version.xserver-xorg-core: xserver-xorg-core 2:1.11.4-0ubuntu10.1
version.xserver-xorg-input-evdev: xserver-xorg-input-evdev 1:2.7.0-0ubuntu1
version.xserver-xorg-video-ati: xserver-xorg-video-ati 1:6.14.99~git20111219.aacbd629-0ubuntu2
version.xserver-xorg-video-intel: xserver-xorg-video-intel 2:2.17.0-1ubuntu4
version.xserver-xorg-video-nouveau: xserver-xorg-video-nouveau 1:0.0.16+git20111201+b5534a1-1build2