I also have this same issue on 10.04 beta, 2.6.32-21-generic.  In fact,
I have found wireless to be horrible in lucid.  Not only does the
connection drop and reconnect very frequently, sometimes it won't
connect at all with dhcp.  In that case, the essid gets mangled.  I can
get around that issue by manually assigning an address.  I have never
gotten wicd to connect at all, so am using network-manger.  I hope this
issues are resolved before the production release or there will be a lot
of unhappy folks.

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Wireless connection frequently drops  [deauthenticating by local choice 
(reason=3)]
https://bugs.launchpad.net/bugs/548992
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