I installed nautilus-open-terminal, and now the option "Open in Terminal" does show up in the context menu for me in Nautilus, and clicking it does open a terminal. But it just opens to the home directory, every time, same as if I'd opened a terminal in the ordinary way.
I've tried to look for solutions to this, but I can't find anyone that even has the same problem. Other people complaining about it all seem to be saying that a terminal doesn't even open for them, which is not the case for me.
I'm at a loss. Ideas would be appreciated.
Running Karmic, a brand new install.