Comment 14 for bug 999929

Tried Peter Jensens approach on Ubuntu 12.04 LTS under Virtualbox 4.2.4 r81684 with extensions. Unchecked the draw-background value... but no change in behavior... It still blocks all other screens in seamless mode... it even redraws the background. (Yes, I have rebooted after changing the value and gconf-editor says its OFF).

So problem still unsolved for me... have been forced to switch to other distribution for now.