Sorry, still not reproducible here, it works as expected... Are you
really sure your window manager is xfwm4? BTW, for the panel, it is
managed a bit differently, it has its own transparency settings in
Settings > Settings Manager > Panel.

** Package changed: xfdesktop4 (Ubuntu) => xfwm4 (Ubuntu)

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Transparency problems with xfdesktop
https://bugs.launchpad.net/bugs/325662
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