If you want to do a little further digging on this situation, try the following: xrdb -q | grep -i ^xterm and post the results back.
And yes, I am using slink, but with some addons. Here's my /etc/apt/sources.list if you're interested deb http://ftp.netgod.net/ x/ deb http://security.debian.org/ stable updates deb http://http.us.debian.org/debian stable main contrib non-free deb-src http://http.us.debian.org/debian stable main contrib non-free deb http://non-us.debian.org/debian-non-US stable non-US Keith