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0e1f616
(Get the code!)
The I/O timeouts you mention are caused by the poor BIOS. Intel's BITS reports a maximum SMI latency of 418 microseconds for my NB305, which is very high.
Running the kernel with nohz=off and highres=off does reduce power efficiency, but not significantly; I can still achieve 9 hours of battery life. These settings no longer cause Pulseaudio to have any problems, in Natty.