Comment 24 for bug 449196

In my case, logout-and-login trick didn't work for me.
However, after some frustration, I remembered that I chose "keep local version" option on updating menu.lst. (I was currently on the old kernel, 2.6.28-16.)
When I changed the menu.lst to boot on the new kernel, 2.6.31-14, the problem has gone (amazingly) and xorg keeps CPU usage at around 0.9%.

My system is T61 with Core2Duo 2GHz, Intel 965 video, 500GB HDD and 4GB RAM, Ubuntu 9.10 32bit.
Hope this is useful to someone.