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["a.tom" <a.tom@xxxxxx>]

I did the upgrade, still without the above PPA.
Either the 2.6.32.18 kernel, or the 1.7.6 xorg fixed the issue, so I can log in now without a xorg.conf now.
There are some lesser glitches though, suspend doesn't work, and the notify-osd rendering is faulty when hovering over the mouse.

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[M6-LY] radeon kms doesn't work - returns to login screen
https://bugs.launchpad.net/bugs/478493
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