Desktop wallpaper doesn't rotate images

[Matthew Woerly]

The images I take on my digital camera are tagged in the EXIF data with orientation, so whether I took it in portrait or landscape, the picture shows up correctly.
Nautilus, Gthumb, Shotwell, etc. work with this just fine. Using them as desktop wallpaper used to work fine, too.
In Oneiric, they are no longer rotated. They show up to the wallpaper chooser sideways.

ProblemType: Bug
DistroRelease: Ubuntu 11.10
Package: gnome (not installed)
ProcVersionSignature: Ubuntu 3.0.0-12.20-generic 3.0.4
Uname: Linux 3.0.0-12-generic x86_64
NonfreeKernelModules: wl
ApportVersion: 1.23-0ubuntu4
Architecture: amd64
Date: Tue Nov 8 11:23:37 2011
EcryptfsInUse: Yes
InstallationMedia: Ubuntu 11.10 "Oneiric Ocelot" - Release amd64 (20111012)
ProcEnviron:
 PATH=(custom, no user)
 LANG=en_US.UTF-8
 SHELL=/bin/bash
SourcePackage: meta-gnome3
UpgradeStatus: No upgrade log present (probably fresh install)

[Launchpad Janitor (janitor)]

Status changed to 'Confirmed' because the bug affects multiple users.