Just got an update in gnome-power-manager: (proposed)

+ Fix gpm_button_is_lid_closed to return an updated value from
      DeviceKit-Power instead of its own locally stored value which may be
      outdated 

Can anyone confirm if this solves the problem?  I'm running Ubuntu in
Virtualbox now to avoid this issue...

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Closing laptop lid doesn't cause the screen to go blank
https://bugs.launchpad.net/bugs/449188
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