I, too, can confirm this bug on a 1,3 GHz G4 iBook with the Gutsy Gibbon
inside. The machine goes to sleep (heartbeat LED pulses, backlight is
off, everything comes to a halt) when closing the lid. When opening the
lid, subsystems audibly restart but the screen remains powered on in a
strange configuration (horizontal black and white stripes). Incidentally
(or not) a friend of mine has the same problem on his machine.

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System incredibly slow after suspend, refuses to restart
https://bugs.launchpad.net/bugs/99675
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