I'm experiencing the same: Crashes during gdm (sometimes it works until
X serveris started) and screen output as posted above. Interestingly, it
only occurs when NOT having plugged in an external monitor or running on
VESA driver. The use of metacity or compiz doesn't matter.

SPECS:
Acer Extensa 3000
Radeon Mobility 9500
Intel Celeron Mobility 1,45Ghz
Tested on Upgraded & Fresh Hardy Installation

I'm novice to bug reporting, but I'l gladly do further investigation if 
instructed to :)
Please fix this bug, it renders my laptop virtually useless.

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[hardy] kernel 2.6.24-16-generic + radeon driver = system freezes
https://bugs.launchpad.net/bugs/220345
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