Comment 11 for bug 365864

It appears the problem has been resolved with the latest update:

xserver-xorg-video-intel:
  Installed: 2:2.6.3-0ubuntu9.2
  Candidate: 2:2.6.3-0ubuntu9.2
  Version table:
 *** 2:2.6.3-0ubuntu9.2 0
        500 http://ftp.telfort.nl jaunty-proposed/main Packages
        100 /var/lib/dpkg/status
     2:2.6.3-0ubuntu9 0
        500 http://ftp.telfort.nl jaunty/main Packages