I've also just installed the latest fglrx driver update that appeared.
It did nothing for my problems. Still causes an instant hang when I
reboot or shutdown, and still causes a hang if I log out twice.
Uninstalling the fglrx driver and returning to the ati driver removes
the problem.

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Lockup problems with both the free xorg ATI driver and the proprietary fglrx 
driver, using various ATI cards
https://launchpad.net/bugs/30447

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