after upgrade from 10.04 to 10.10, no keyboard, cannot login

just did upgrade from kubuntu 10.04 to 10.10.. after all done and reboot, when the login box shows up, my keyboard and laptop pad ( mouse ) dosn't work, (plugged in the usb mouse, it works sometimes) but never keyboard.
i went to recovery , the boot hung up when it says :

[    17.704053] EXT4-fs (sda9): mounted filesystem with ordered data mode
Begin: Running /scripts/local-bottom ...
Done.

Done.
Begin: Running /scripts/init-bottom ...
Done.

stuck here. nothing works except ctrl+alt+del

i tried booting from livecd and update-grub, also tried booting manually from grub command line, everytime it stuck at lines above .. so it's not grub problem .
how to solve this ?

if it is important, i have ATI mobility radeon HD 5470 card .

I would say you have a few options...

1. Boot up with the livecd, open a terminal, make sure your old install gets mounted, do a chroot to your existing install, try checking out apt, try reinstalling the kernel (apt-get install package-name --reinstall will reinstall a package), also some other core packages, see if that works, if not do more digging until you either fix it or give up.




2. Boot up with livecd, mount the old install, back up your data to an external device, and reinstall.

Depending upon what broke and if you're a ninja, 1 might be quicker, otherwise, go with 2. I have also had some upgrade pains to 10.10, had to reinstall ubuntu-desktop and a few other packages.

Hope that helps