Computer does not wake from suspend at all ubuntu 12.04

I have an hp dv7 with radeon mobility 4500 graphics card (resolved graphics card issues already, hdmi sound works, no flicker on startup).

My current problem is two fold.

1. After I suspend, if I hit any key to start (the mouse has no effect) I hear the cpu start up, but no keys are responsive on the key board, the mouse is unresponsive, and the screen does not start at all. No back light, nothing, only a cpu fan noise and some lights on the keyboard on the power key come on. At this point, the only solution I have is a hard reboot by holding the power key down.

2. If I close the laptop lid, it does not suspend correctly at all. cpu remains on and fan running, but if I open the laptop lid back up to resolve, then the previous problem (number 1) happens. Tried to enter password, terminal, ctrl, alt, f1 f7 fetc... you name it! Nothing works

New to Ubuntu. Started using it about a month ago and LOVE it (even with the bugs)!! It has rescued two old laptops in our house and I have renounced windows now! I have, however, some problems with my newer laptop (the hp).

Thank you in advance for your help
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AlsaVersion: Advanced Linux Sound Architecture Driver Version 1.0.24.
ApportVersion: 2.0.1-0ubuntu15.1
Architecture: amd64
ArecordDevices:
 **** List of CAPTURE Hardware Devices ****
 card 0: SB [HDA ATI SB], device 0: STAC92xx Analog [STAC92xx Analog]
   Subdevices: 1/1
   Subdevice #0: subdevice #0
AudioDevicesInUse:
 USER PID ACCESS COMMAND
 /dev/snd/controlC1: michael 1839 F.... pulseaudio
 /dev/snd/controlC0: michael 1839 F.... pulseaudio
Card0.Amixer.info:
 Card hw:0 'SB'/'HDA ATI SB at 0xf2400000 irq 16'
   Mixer name : 'IDT 92HD75B3X5'
   Components : 'HDA:111d7603,103c3639,00100202 HDA:11c11040,103c137e,00100200'
   Controls : 23
   Simple ctrls : 13
Card1.Amixer.info:
 Card hw:1 'HDMI'/'HDA ATI HDMI at 0xf2310000 irq 46'
   Mixer name : 'ATI R6xx HDMI'
   Components : 'HDA:1002aa01,00aa0100,00100100'
   Controls : 6
   Simple ctrls : 1
Card1.Amixer.values:
 Simple mixer control 'IEC958',0
   Capabilities: pswitch pswitch-joined penum
   Playback channels: Mono
   Mono: Playback [on]
DistroRelease: Ubuntu 12.04
HibernationDevice: RESUME=UUID=53563629-f7d9-4f50-b3e8-2a262b516833
InstallationMedia: Ubuntu 12.04.1 LTS "Precise Pangolin" - Release amd64 (20120823.1)
MachineType: Hewlett-Packard HP Pavilion dv7 Notebook PC
MarkForUpload: True
NonfreeKernelModules: fglrx
Package: linux (not installed)
ProcEnviron:
 TERM=xterm
 PATH=(custom, no user)
 LANG=en_US.UTF-8
 SHELL=/bin/bash
ProcFB: 0 VESA VGA
ProcKernelCmdLine: BOOT_IMAGE=/boot/vmlinuz-3.2.0-35-generic root=UUID=1fd2730b-244b-415f-836b-bc33bd30c0e2 ro quiet splash vt.handoff=7
ProcVersionSignature: Ubuntu 3.2.0-35.55-generic 3.2.34
RelatedPackageVersions:
 linux-restricted-modules-3.2.0-35-generic N/A
 linux-backports-modules-3.2.0-35-generic N/A
 linux-firmware 1.79.1
Tags: precise running-unity
Uname: Linux 3.2.0-35-generic x86_64
UpgradeStatus: No upgrade log present (probably fresh install)
UserGroups: adm cdrom dip lpadmin plugdev sambashare sudo
dmi.bios.date: 01/25/2010
dmi.bios.vendor: Hewlett-Packard
dmi.bios.version: F.13
dmi.board.name: 3639
dmi.board.vendor: Hewlett-Packard
dmi.board.version: 33.23
dmi.chassis.type: 10
dmi.chassis.vendor: Hewlett-Packard
dmi.chassis.version: N/A
dmi.modalias: dmi:bvnHewlett-Packard:bvrF.13:bd01/25/2010:svnHewlett-Packard:pnHPPaviliondv7NotebookPC:pvr039F200000241210000020000:rvnHewlett-Packard:rn3639:rvr33.23:cvnHewlett-Packard:ct10:cvrN/A:
dmi.product.name: HP Pavilion dv7 Notebook PC
dmi.product.version: 039F200000241210000020000
dmi.sys.vendor: Hewlett-Packard