paul: Thank you. I updated just now and unfortunately it is still not
working. The syslog output was the same and it end up with this:

NetworkManager[544]: <info> Activation (eth1) Stage 5 of 5 (IP Configure
Commit) failed (no IP configuration found)

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https://bugs.launchpad.net/bugs/735435

Title:
  iPhone tethering no longer working under natty

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