How about testing a Live CD to see if the issue goes away? No need to upgrade, just want to test to see if it is something in your profile, as you stated it followed you from 7.04 to 8.04. Curious if when you boot off a Ubuntu 8.10 Live CD if you still see the same behavior. If you do, then I would think this bug is video card specific, so I could move it under xorg. Thanks for the follow up, and any further information you can provide.
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