I can verify this behavior on a 15" Apple G4 Powerbook (Radeon 9600 /
r350) running Gutsy. Sleep *does* work as expected if X is not running.

** Changed in: xserver-xorg-video-ati (Ubuntu)
       Status: New => Confirmed

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radeon driver bug causes suspend to fail
https://bugs.launchpad.net/bugs/140811
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