I've maybe be same problem as you.
X crash completely on startup or shows a destroyed window.
The "fix" for me is to enable the memory share for the grafics. Maybe the 
sideport memory is not working with the fglrx driver.
I need to change the option in bios to UMA+Sideport and at least 64MB shared 
memory, better more.

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Jaunty, FGLRX Drivers crash. Out of range HorizSync. Radeon HD 3200
https://bugs.launchpad.net/bugs/365059
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