This behaviour is due to running a dual headed configuration with the attached xorg.conf - when I go back to a single headed configuration the laptop will suspend and hibernate.
** Attachment added: "xorg.conf for dual headed config on IBM X40" http://librarian.launchpad.net/4938020/xorg.conf.dualhead -- IBM X40 Thinkpad fails to suspend/hibernate (edgy with latest updates) https://launchpad.net/bugs/68148 -- ubuntu-bugs mailing list ubuntu-bugs@lists.ubuntu.com https://lists.ubuntu.com/mailman/listinfo/ubuntu-bugs