more comments & testing:

 - i've checked with Windows: select xpsp3 in grub2 menu & boot
   boot fine, open & use apps then close them & finally choose to restart xp: 
like with ubuntu, xp closed but system does not shut down, so can't reboot.

 That makes me thinking it's rather a problem with grub2 & its
dependencies ( maybe os-prober) than sysvinit ( but i'm not an expert )

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Unable to shut down or restart on Karmic
https://bugs.launchpad.net/bugs/468589
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