Alright, I got it. If I use the generic-pae kernel, Virtualbox won't
work. So I set my grub to automatically boot to the -generic (without
pae) kernel -- the power management option works and so does Virtualbox.
Finally! {I'm happy at least for now.}

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https://bugs.launchpad.net/bugs/568611

Title:
  Screen brightness control fails on Dell Studio 1558

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