I noticed that, as quickly as the change to gdm fixed it, the next
upgrade of fglrx (not sure which version) re-broke it even after the
init tweak.

-- 
[HD 3650] fglrx versions newer than 8.543 cause system hang and panic
https://bugs.launchpad.net/bugs/314600
You received this bug notification because you are a member of Ubuntu-X,
which is subscribed to fglrx-installer in ubuntu.

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