It turns out the issue is related to the new acceleration method in Karmic. Adding the following to the Device section fixes it.
Option "AccelMethod" "EXA" Now I wonder, is this because of my video card or just the current state of ATI drivers? If so, will it be resolved? Should I file a new bug? Thanks! -- Notification and similar dialogs are displaying corrupted after update on Karmic https://bugs.launchpad.net/bugs/416001 You received this bug notification because you are a member of Ubuntu Bugs, which is subscribed to Ubuntu. -- ubuntu-bugs mailing list ubuntu-bugs@lists.ubuntu.com https://lists.ubuntu.com/mailman/listinfo/ubuntu-bugs