I can confirm that Shift+Alt+<anything> doesn't work with 8.04 (LTS). In my 
everyday work this prevents me from using all refactor commands in Eclipse 
(such as rename, shift-alt-r) and all quick execution (shift-alt-x, t to run 
unit tests).
Alt+<key> works.
Shift+<key> works.
Ctrl+Shift+<key> works.

Installed version is 1.5.0-3+cvs20071006ubuntu0.1

Command used to connect is: "rdesktop -k sv -g 1400x1050 -m -a 16 -z -x b -u 
fwendt localhost"
Window manager is meta-city (no compiz - DRI turned off to enabled Xinerama 
with 2960 pixels wide (external monitor+laptop monitor)).

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Alt-Shift does not propagate to remote host
https://bugs.launchpad.net/bugs/78540
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