Thanks for your report. Yes, that looks wrong. This is similar to bug 136981.
Can you please try:
sudo xresprobe fglrx
(on a virtual console) to see what's returned from the monitor detection?
** Changed in: xresprobe (Ubuntu)
Assignee: (unassigned) => Tormod Volden (tormodvolden)
Status: New => Incomplete
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[gutsy] bad modes in xorg.conf
https://bugs.launchpad.net/bugs/148231
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